SAVP.L Share News (SAVP)

(Sharecast News) - British independent oil and gas company Savannah Petroleum on Wednesday made a new oil discovery through its Eridal-1 exploration well in the Agadem Rift Basin, South East Niger.The well encountered around 13.6m of net oil-bearing reservoir sandstones in what is the fourth consecutive discovery that Savannah had made in its ongoing exploration campaign in the R3 portion of the region in Niger.Andrew Knott, chief executive of Savannah, said: "We are excited with the success we have delivered to date in Niger. Eridal-1 maintains our 100% exploration success record and marks our fourth discovery in the R3 East Area."The discovery's reservoir properties are indicated to be of a good quality by wireline logs, while light oil consistent with the AIM traded company's previous discoveries has been projected through the available data."What was different about Eridal-1 was that we were targeting a structure which had previously been drilled in a down-dip location by a previous operator. Our technical team had a strong view that significant potential existed up-dip and selected the Eridal-1 well accordingly. We believe this has contributed meaningful oil resource additions to support the development of our proposed EPS," said KnottEridal-1 is currently being suspended for future re-entry, with a well testing programme planned for later in the year.Following the sustained successful results, Savannah said it will now mobilise Great Wall Drilling Company Niger's rig to the Zomo-1 well site and has elected to exercise the second of the six individual options it has under contract with the drilling firm.Subsequently, Savannah will continue to have options for a further four wells, each of which can be exercised individually at its discretion.Savannah's shares were up 1.17% at 26.00p at 0948 BST.