Last checked at 30 Apr 2012 09:42
30 April 2012 TANGIERS PETROLEUM LIMITED Quarterly Report for Period Ending 31 March 2012
The Board of Tangiers Petroleum Limited ("Tangiers" or the "Company") is pleased to provide the following commentary to be read in conjunction with the Appendix 5B (Quarterly Cash Flow Report) which is attached.
MARCH 2012 Quarter - Highlights
Africa: Morocco - Tarfaya Offshore Block
* Acquisition of the 670 km2 3D seismic survey over the Company's primary prospects Trident, TMA, and Assaka within the Tarfaya Block, offshore Morocco was completed in early January. * Seismic EIA study was approved in Laayoune by the regional committee of Environment Impact Studies. * Tender requests for processing of the data were issued with contract award expected imminently. * Seismic interpretation including AVO analysis of 2D lines over multiple leads within the shallower Lower Cretaceous intervals continues. Once completed and prospectivity confirmed an independent resource estimate will be prepared. * The Tertiary and Triassic age sections will be evaluated following completion of the Lower Cretaceous programme. * Samples taken during the November 2011 Field Trip have been submitted for oil to source rock correlation studies and reservoir analysis. * Macquarie Bank appointed to co-ordinate and finalise the Tarfaya farm out process.
Australia: WA-442-P and NT/P81 Exploration Permits (Turtle and Barnett)
* ISIS Petroleum Consultants (ISIS) completed a Competent Persons Report (CPR) on Tangier's Early Carboniferous age Milligans Fan oil play in the Bonaparte Basin Permit Areas WA-442-P and NT/P81, offshore Northern Australia. * 14 leads, of which 8 are structural and 6 are combination structural and stratigraphic, have been identified with combined unrisked oil-in-place (STOIIP) of 683 million barrels of oil (614.7 million barrels attributable to Tangiers) with a high side case of almost 1.5 Billion barrels of oil-in-place (1.35 Billion barrels attributable to Tangiers). * Gross unrisked mean Prospective resources are estimated to be 218 million barrels of oil (196.2 million barrels attributable to Tangiers) with the high side case being 505 million barrels of oil (454.5 million barrels attributable to Tangiers). * ISIS has been engaged to administer and finalise the farm-out process so as to expedite the WA-442-P and NT/P81 exploration programmes as well as the future Turtle Barnett oil development programme. CorporatePrivate Placement
During January 2012 the company undertook a private placement bookbuild. The placement was completed in two tranches and resulted in the issue of 12,754,516 shares and raised approximately A$6,377,258 before costs of the issue. The shares were issued to investors in the UK, North America and Australia. The funds raised are to be applied to the recent 3D Seismic shoot and general working capital.
Competent Person Statement
Mr Brent Villemarette who is an Executive Director of Tangiers Petroleum has sufficient experience that is relevant to the style and nature of oil prospects under consideration and to the activities discussed in this document. His academic qualifications and industry memberships appear on the Company's website and both comply with the criteria for "Competence" under clauses 18-21 of the Valmin Code 2005. Terminology and standards adopted by the Society of Petroleum Engineers "Petroleum Resources Management System" have been applied in this document.
Appendix 5B Summary - Consolidated Statement of Cashflow
Current Quarter Year to $A'000 date (3 months) $A'000
Cashflows related to operating activities
Receipts from product sales and related - -
debtors
Payments for:
* exploration and evaluation (3,541) (3,541)* development - -* production - -* administration (479) (479)Dividends received - -Interest and other items or a similar nature 19 19
received
Interest and other costs of finance paid - -Income taxes paid - -Other (75) (75)Net operating cashflow (4,076) (4,076)
Cashflows related to investing activities
Payments for the purchase of:
* prospects - -* equity investments - -* fixed assets (1) (1)Proceeds from the sale of:* prospects - -* equity investments - -Loans to other entities - -Loans repaid by other entities - -Other - -Net investing cashflows (1) (1)
Cashflows related to financing activities
Proceeds from issue of shares, options etc. 5,988 5,988Proceeds from sale of forfeited shares - -Proceeds from borrowings - -Repayment of borrowings - -Dividends paid - -Costs associated with issue of shares (255) (255)Net financing cashflows 5,733 5,733Net increase / (decrease) in cash held 1,656 1,656Cash at the beginning of the quarter / year to 1,452 1,452
date
Exchange rate adjustments - -CASH AT THE END OF THE QUARTER 3,108 3,108KRYSTEL KIROUJoint Company SecretaryTangiers Petroleum Limited14 Emerald TerraceWest Perth, WA, 6005Ph: +61 (8) 9322 2700Fax: +61 (8) 9322 7211www.tangierspetroleum.comContactsMr Mark CeglinskiChairman+61 8 9263 5205RFC Corporate Finance Limited (Nominated Adviser)Mr Stuart Laing+61 8 9480 2506Old Park Lane Capital PLC (Joint AIM Broker)Mr Michael ParnesMr Luca Tenuta+ 44 20 7493 8188Shore Capital Stockbrokers Ltd (Joint AIM Broker)Mr Jerry KeenMr Bidhi Bhoma+ 44 20 7408 4090Casimir Capital (Principal American Liaison)Mr Stephen Silver+1 212 798 1372
Mr Paul Youens / Mr Ed Portman (Media and Investor Relations - United Kingdom) Tavistock Communications +44 20 7920 3150