LONDON (Alliance News) - Great Eastern Energy Corp Ltd on Monday said its reserves and resources at the Raniganj (South) licence block in India have been upgraded, pushing up proven reserves by over one-third.
Great Eastern shares were trading 10% higher on Monday morning at 29.25 pence per share.
Proven reserves have risen 37% to 354.20 billion cubic feet of gas from the previous estimate of 259.10 billion cubic feet of gas.
Proven plus probable reserves increased by 17% to 517.20 billion cubic feet from 442.70 billion cubic feet and proven plus probable and possible reserves rose by 9.0% to 594.70 billion cubic feet from 543.40 billion cubic feet.
The reserves reported Monday replace the previous estimates that were published back in November 2014. The changes reflect new wells coming on production in new areas, and an increase in estimated recoveries based on historical production. The following resources are also updates from November 2014.
Best estimate, 2C contingent resources more than doubled to 590.80 billion cubic feet of gas from 274.30 billion cubic feet.
Low estimate, 1C contingent reserves also more than doubled to 375.70 billion cubic feet to 375.70 billion cubic feet of gas from 169.90 billion cubic feet. High estimate, 3C contingent resources increased by two-thirds to 701.40 billion cubic feet of gas from 419.80 billion cubic feet.
Resources refer to an estimate of the amounts of oil and gas that are believed to be physically contained in the source rock while reserves refer to an estimate of the amount of oil or gas that can technically and economically be expected to be produced from a geological formation.
Great Eastern Energy said the original-gas-in-place estimate of 2.62 trillion cubic feet of gas within the licence block has also been confirmed in the latest update.
"We are delighted that we are continuing to build on our reserves and resources. The substantial increase in the same, are third party verified and endorse the strength of our future," said Prashant Modi, managing director and chief executive of the business.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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