LONDON (Alliance News) - Shares climbed in MX Oil PLC on Tuesday following the outcome of an updated competent persons report for the Aje field, in Oil Mining Lease 113, offshore Nigeria.
Shares in the oil & gas-focused investment firm were 12% higher at 0.42 pence on Tuesday.
In April 2018, AGR TRACS International Ltd first produced a competent persons report, stating the Aje field contained 3.0 million gross barrels of proved and probable reserves as at December's end 2017.
The new updated report has shown recoverable proved and probable reserves of 4.73 million gross barrels, increasing the reserve at Aje by 60% despite production.
Over 2018, the Aje field produced 1.1 million gross barrels. The Aje field currently has two producing wells, Aje-4 in the Cenomanian formation and Aje-5 in the Turonian formation.
"I am pleased to share this news with our investors as it represents a material increase in the value of the Aje project to MX Oil and protects long term revenues into the company. The numbers show that our 2P recoverable reserves have increased by 60% over the last year despite the field having produced over one million barrels last year. The quality of the project is now starting to show and we expect to be rewarded with profitability next year assuming current oil price and production," said Chief Executive Stefan Oliver.