SOLO.L Share News (SOLO)

(Sharecast News) - Gas-focussed production and development company Solo Oil noted an announcement from Aminex on Friday, with regards to the Ruvuma Petroleum Sharing Agreement, in which it has a 25% interest.
The AIM-traded firm said Aminex submitted its 2020 work programmes and budgets for all licences in Tanzania to the government for approval, and said they included a gross contingent of around $40m for the drilling of Chikumbi-1 and the acquisition of extensive 3D and 2D seismic surveys over the Mtwara licence, of which Aminex said it was "fully carried".

It also said ARA Petroleum Tanzania had agreed to "fast-track" select Chikumbi-1 pre-drilling activities, and had appointed a management team to oversee Tanzanian operations.

Aminex said it would shortly begin receiving advance payments of up to $3m against the cash consideration due on completion of the Ruvuma farm-out.

The board of Solo said it was not made aware of, or consulted on, the inclusion of the "fast-track" items in the firm 2020 work programmes and budgets, and the associated expenditure requirements.

"Such notification and consultation is a requirement pursuant to the terms of the joint operating agreements in place between Aminex and Solo," the board said in its statement.

"The company remains committed to having a positive working relationship with Aminex, and will seek to further understand in short order the background to its actions."