This paragraph19 Sep 2025 07:13
Whilst the rig-less testing of the MOU-3 well did not produce the flow of gas that had been hoped for, the larger perforating guns were successful in penetrating through to the reservoir sands. Samples collected showed the impact of over-balanced drilling with heavy drilling mud. The information collected will provide the data with which to design the programme to unlock these potentially significant biogenic gas resources discovered by the Company. Whilst drilling MOU-1 and MOU-3 especially, gas shows were recorded, but once the mud weight reached a critical threshold gas entry into the wells was suppressed and in other wells potentially totally suppressed by the over-balanced drilling. Underpinning the opportunity that our drilling has created is the new Memorandum of Understanding that was executed with a downstream pan-African entity. This agreement proposes to fund, construct, operate and create a pilot micro-LNG business at no cost to the Company, supported by the potential gas resources around the MOU-3 well.