LONDON (Alliance News) - Frontier Resources International PLC Thursday said it has modified its work programme in Oman to focus on two structural leads it has discovered that were missed by previous operators.
Frontier shares were up 22.3% to 0.947 pence per share on Thursday morning.
The company has been working on Block 38 in Oman and for the past two years, and has been re-processing some existing 2D seismic data and integrating it with historic seismic and well data to make a comprehensive technical evaluation of the oil prospectivity of the block.
A consequence of this evaluation has been the identification of two potential structural leads that were not identified by previous operators and the confirmation that the South Oman Salt basin extends into the south-eastern part of the block. The South Oman Salt basin is already producing oil.
"The few historic wells drilled in this very large block did not penetrate any of the geologic formations considered to comprise each of the new independent leads," said Frontier.
Frontier said it has now switched its focus to drilling the two new previously unidentified structural leads and starting discussions with the tender board to begin the process to select suitable contractors to complete the work programme.
"This modification to the work program will enable the company to gain a comprehensive understanding of the deeper stratigraphy in this lightly explored part of Oman, while at the same time testing the hydrocarbon potential of a very large lead," said Chief executive Jack Keyes.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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