LONDON (Alliance News) - Predator Oil & Gas Holdings PLC on Thursday reported "another very positive step" for its Guercif permit in Morocco following a competent persons report.
Following analysis of 2D seismic and well data at Guercif, Predator engaged SLR Consulting Ireland Ltd to come up with a report.
This has reported net best estimate recoverable prospective resources of 474 billion cubic feet for the Moulouya and Tagi prospects, targeting the Miocene and Triassic respectively. The high estimate is for 943 billion cubic feet of gas.
The unrisked net present value of Miocene gas net to Predator is USD624 million, and for the Triassic gas USD207.7 million.
There is the potential to sell to cement plants and power generators in Morocco, Predator said, and another nine prospective leads have been lined up targeting the Triassic and Jurassic.
Predator Chief Executive Paul Griffiths said: "This is another very positive step for Guercif. This third party prospective resources audit by SLR validates the significant volumetric and recoverable gas resources potential whilst importantly indicating too there is no significant impediment to monetising discovered gas.
"The report also references additional hydrocarbon potential over the entire Guercif area demonstrated by multiple prospective leads in diverse geological settings in the Miocene, Jurassic and Triassic."
"This will facilitate a rolling drilling programme to create economies of scale in respect of costs which could be expected to lead to sustained exploration activity over several years," he continued.
"The report is therefore an important tool and catalyst for attracting potential drilling partners necessary to advance rapidly a multi-well drilling programme to fully evaluate the large inventory of prospective leads developed in Guercif, as now referenced independently by the report."
Predator shares were 15% higher on Thursday morning at 10.42 pence each.
Predator Oil (PRD)