Zac Mir interviews Solo Oil PLC (LON:SOLO) chairman Neil Ritson and Aminex Plc (LON:AEX) Chief Executive Jay Bhattacherjee. Share Talk take a looks at both companies to see what they have planned for last Q4 2016.
We cover Solo Oil PLC (LON:SOLO) first and look at what the company new flow is short term.
The last RNS update on 18th October stated that site preparations for the Ntorya-2 appraisal well was completed and that mobilisation of the Caroil#2 rig from the Ntorya-1 wellsite is now underway. Normal practice with most listed company is not divulge precise time scales, dates because they know the markets will punish them if they miss these targets.
With The Carol#2 drilling rig already on site(Ruvuma basin), Mr Ritson should be able to be positive that the company time scale can deliver on time. The comment from SOLO that they estimates Ntorya-2 appraisal well is likely to spud in December 2016 is a very positive and bold statement.
The Ntorya-2 pad is located approximately 1.5 kilometres to the southwest of the Ntorya-1 well. Solo holds a 25% interest in the Ruvuma Petroleum Sharing Agreement (“Ruvuma PSA”).
Neil Ritson, Solo’s Chairman, commented;
“Advancing the Ntorya appraisal and its commercialisation is now a key objective for Solo. The discovery of gas in high quality Cretaceous sandstone reservoirs in the onshore portion of the Ruvuma Basin represents very significant value and we look forward to confirmation of the spud date in due course.”
The Ruvuma PSA is operated by Aminex plc who hold the remaining 75% working interest.
On a closing note looking ahead to 2017, Horse Hill-1 Oil Discovery, Weald Basin, UK.
HHDL (17 October 2016)submitted a planning application to Surrey County Council seeking permission to conduct further appraisal testing and drilling at the Horse Hill-1 (“HH-1”) oil discovery, located in licence PEDL137, close to Gatwick Airport
HHDL is a special purpose company, which owns a 65% working interest and operatorship of the PEDL137 and adjacent PEDL246 licence. Solo owns a 10% beneficial shareholding in HHDL, equal to a 6.5% net working interest in these licences.
Aminex Plc (LON:AEX) Chief Executive Jay Bhattacherjee.
Ntorya-2 Appraisal Well represents a low risk appraisal well targeting Resources of 153 BCF and follows the discovery well at Ntorya-1, which flow tested at 20 mmcfd with 139 bbls of associate condensate. The Company holds a 75% working interest and is the operator.
The Ntorya-2 appraisal well is expected to spud late Q4 and once spudded drilling is expected to take between 45 and 60 days.
Aminex PLC focus is its three licences in Tanzania, where it was one of the first independent oil companies to enter Tanzania in 2002:
Kiliwani North Development Licence (54.575%) Operator
The Kiliwani North Field has been independently ascribed with 28 BCF gross contingent (2C) resource and is currently in production. The Kiliwani North -1 well tested at 40 mmcfd. Gas is sold at the well head in $US at a fixed price and fed directly into the Tanzania’s new pipeline infrastructure to Dar es Salaam. As operator, Aminex has control of the production ramp up, work programme and quantity and timing of future capital expenditure.
Ruvuma Production Sharing Agreement (75%) Operator
The Ruvuma acreage includes Aminex’s Ntorya-1 onshore Cretaceous gas discovery which has been independently ascribed 70 BCF gross contingent (2C) resource in the Ruvuma Basin. The well tested at 20 mmcfd. Aminex is currently appraising the discovery as well as continuing exploration activity on the licenced area in the prospective Ruvuma Basin.
Nyuni Area Production Sharing Agreement (90%) Operator
The Nyuni Area acreage offers high impact exploration and has been ascribed 4.2 TCF prospective resource. Drilling success in the region based on 3D seismic has been over 90%.
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