Lekoil Limited Otakikpo Production Now at 7,000 bopd
September 14 2017 - 2:18AM
RNS Non-Regulatory
TIDMLEK
Lekoil Limited
14 September 2017
LEKOIL LIMITED (LEK)
Otakikpo Production Now at 7,000 bopd
14-Sep-2017
Dissemination of a Regulatory Announcement that contains inside information according to
REGULATION (EU) No 596/2014 (MAR), transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
14 September 2017
LEKOIL Limited
("LEKOIL" or the "Company")
Operations Update
Otakikpo Production Now at 7,000 bopd
LEKOIL (AIM: LEK), the oil and gas exploration, development and production company with a
focus on Africa, is pleased to announce an increase in current production at the Otakikpo
Marginal Field ("Otakikpo") in OML 11. Since starting production on 20 February 2017 at an
initial rate of 5,000 bopd, production has averaged approximately 5,500 bopd through 31 July
2017. Current production at Otakikpo is now approximately 7,000 bopd. The Company continues
to focus on ramping up to Phase One target production of 10,000 bopd, which the Company still
targets around year-end 2017.
For further information, please visit www.lekoil.com or contact:
LEKOIL Limited
Alfred Castaneda, Investor Relations +44 20 7920 3150
Hamilton Esi, Corporate Communications +44 20 7920 3150
Strand Hanson Limited (Financial &
Nominated Adviser)
James Harris / James Spinney / Ritchie
Balmer +44 20 7409 3494
Mirabaud Securities LLP (Joint Broker)
Peter Krens / Edward Haig-Thomas +44 20 7878 3362 / +44 20 7878 3447
BMO Capital Markets (Joint Broker)
Jeremy Low / Neil Haycock / Thomas Rider +44 20 7236 1010
Tavistock (Financial PR)
Simon Hudson / Barney Hayward +44 20 7920 3150
Background to Otakikpo
Otakikpo is sited in a coastal swamp location in oil mining lease (OML) 11, adjacent to the
shoreline in the south-eastern part of the Niger Delta. LEKOIL Nigeria exercises the rights
and benefits of its 40% Participating and Economic interest in Otakikpo via the Farm-in Agreement
and Joint Operating Agreement signed on 17 May 2014 with Green Energy International Limited
("GEIL"), the Operator.
The Company holds 90% of the economic interests in LEKOIL Nigeria. LEKOIL Limited's economic
interest in Otakikpo therefore equates to 36%. The Otakikpo Joint Venture (LEKOIL as Financial
and Technical Partner to GEIL) began operations in December 2014. Ministerial consent was
granted by the Honourable Minister of Petroleum Resources of Nigeria in June 2015. LEKOIL
funded the costs of development and is entitled to recover this expenditure preferentially
from 88% of production cash flow from Otakikpo.
The Otakikpo Field Development Plan consists of two phases. Phase 1 comprises the recompletions
of two wells, Otakikpo-002 and Otakikpo-003, with the installation of an Early Production
Facility of 10,000 bopd capacity and export via shuttle tanker. Phase 2 covers the subsequent
incremental development of the rest of the field with new wells. Otakikpo commenced commercial
production in 2017.
-ends-
ISIN: KYG5462G1073
Category Code: MSCM
TIDM: LEK
Sequence No.: 4631
End of Announcement EQS News Service
This information is provided by RNS
The company news service from the London Stock Exchange
END
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