In its preliminary results for the year ending 31st December 2022, Tower Resources PLC (AIM: TRP), an Africa-based oil and gas firm, underscored its financing ventures and developments in exploration and evaluation activities.
The company has been vigorously seeking financing opportunities, including an ongoing negotiation for a term loan of around US$7mln with BGFI Bank Group and discussions for asset-level financing with various parties.
By the close of the reporting period, Tower’s cash balance had surged from US$10,000 in 2021 to US$231,000.
In Cameroon, the company dedicated US$3.1mln to the Thali Production Sharing Contract (PSC) over the year. A formal application to extend the First Exploration Period of the PSC is currently under consideration by the Minister of Mines, Industry, and Technological Development.
Tower remains in conversations with rig owners and operators to secure drilling rig availability for the NJOM-3 well in Q3 or Q4 of 2023.
Throughout the year, the company revised its resource estimates and risk profiles for the reservoirs associated with the NJOM-1 and NJOM-2 discovery wells, thereby significantly lowering the risk for the PS9 Sup and PS3 HW reservoirs. The updated estimates reveal that the total risked pMean prospective resources now stand at 35.4mln barrels.
In South Africa, NewAge, Tower Resources’ operator, has made advancements in acquiring 3D seismic data over the permit area. In Namibia, the company has conducted basin modelling to back the evaluation of identified leads in PEL 96.
Moving forward, the company intends to conduct a more thorough geological and geophysical analysis, with plans to gather new 3D seismic data over the most promising leads/prospects.
