TIDMSOLO

RNS Number : 1130A

Solo Oil Plc

18 December 2014

For Immediate Release, 7 am 18 December 2014

Solo Oil plc

("Solo" or the "Company")

Update - Ruvuma PSC, Tanzania

Solo Oil plc (AIM: SOLO) has been advised by Aminex PLC ("Aminex") that they have updated their internal resource estimates in the southern part of the Ruvuma Petroleum Sharing Contract ("PSC") area, in which Solo holds a 25% interest, from mean initially in place gas of 2.3 trillion standard cubic feet ("tcf") to 3.2 tcf.

Neil Ritson, Solo Executive Director, commented:

"Ongoing work by the operator continues to reveal significant additional upside in the Ruvuma PSC using the 2014 seismic data. We remain excited about the potential developments in this area in the next few years where access to the 36-inch pipeline to the gas market in Dar es Salaam is nearly complete."

The newest interpretation using the 2D seismic data acquired earlier in 2014 has shown that in addition to the previously announced target for an appraisal well in the Ntorya-Likonde appraisal area where 2.3 trillion cubic feet ("tcf") mean gas initially in place ("GIIP") was estimated, there is a further 900 billion cubic feet ("bcf") of gas in the Namisange prospect to the west.

In November 2013, independent consultants, calculated that the Ruvuma PSC contained unrisked prospective resources of over 5 tcf (mean GIIP) in known prospects and leads. This includes further leads and prospects; including Sudi and Kiswa that are still under evaluation.

The Ruvuma PSC predominantly covers the onshore extension of the highly prolific basin in which multiple giant gas fields have been discovered offshore in both Tanzania and Mozambique during recent years. The presence of condensate in Ntorya-1 well and oil shows seen in Likonde-1 well represent a further positive aspect of the onshore play, since liquid hydrocarbons add considerable further commercial value to the discovered gas and suggest the presence of a potential oil play.

The Chinese built gas pipeline from Mtwara to Dar es Salaam is currently being finalized with over 500 kilometres of the 506 kilometre pipeline now trenched, installed and backfilled with gas. Pressure testing of the line is over 85% complete and the overall pipeline is reported to be 97% complete. The civil works associated with the gas processing facilities are 87% completed at end November 2014. Due to its close proximity of the pipeline to the Ntorya/Likonde area this provides an early route to commercialize gas discovered in the Ruvuma PSC.

Aminex and Solo are partners in the Ruvuma Production Sharing Contract, with respectively 75% and 25% interests. Aminex subsidiary Ndovu Resources Limited is the operator of the Ruvuma Production Sharing Agreement.

Competent Person's Statement:

The information contained in this announcement has been reviewed and approved by Neil Ritson, Chairman and Director for Solo Oil Plc who has over 35 years of relevant experience in the oil industry. Mr. Ritson is a member of the Society of Petroleum Engineers, an Active Member of the American Association of Petroleum Geologists and is a Fellow of the Geological Society of London.

NOTE: The terms "Discovered" and "Undiscovered" Gas Initially-in-Place are used in accordance with the SPE Petroleum Resources Management System classification of 2007. Previously; Contingent and Prospective Gas Initially-in-Place numbers are equivalent respectively to the Discovered and Undiscovered GIIP classification.

For further information:

 
 Solo Oil plc 
  Neil Ritson                      +44 (0) 20 7440 0642 
 
 Beaumont Cornish Limited 
  Nominated Adviser and Joint 
  Broker 
  Roland Cornish                   +44 (0) 20 7628 3396 
 
 Old Park Lane Capital Plc 
  Joint Broker 
  Michael Parnes                   +44(0) 20 7493 8188 
 
  Shore Capital 
  Joint Broker 
  Pascal Keane                      +44 (0) 20 7408 4090 
  Jerry Keen (Corporate Broker) 
 
  Bell Pottinger 
  Public Relations 
  Henry Lerwill                     +44 (0) 20 3772 2500

This information is provided by RNS

The company news service from the London Stock Exchange

END

MSCUBOWRSOAUAAA

Scirocco Energy (LSE:SCIR)
Historical Stock Chart
From Mar 2024 to Apr 2024 Click Here for more Scirocco Energy Charts.
Scirocco Energy (LSE:SCIR)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Scirocco Energy Charts.