Last checked at 8 Feb 2016 07:00
8 February 2016
Alba Mineral Resources plc
("Alba" or the "Company")
Horse Hill-1 Oil Discovery, Weald Basin, UK
Flow Test Operations Commence
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Alba Mineral Resources plc (AIM: ALBA) announces that it has been notified by Horse Hill Developments Limited ("HHDL") that operations have now commenced at the Horse Hill site to conduct the extended flow test over three separate zones in the Horse Hill-1 ("HH-1") oil discovery well.
As previously reported, the extended flow test is designed to test both the oil bearing Upper Portland sandstone and two Kimmeridge limestones beneath the Portland.
The HH-1 discovery well, drilled at the end of 2014, is located within onshore exploration Licence PEDL137, on the northern side of the Weald Basin near Gatwick Airport. Alba owns a 9.75% interest in PEDL137.
Mike Nott, Alba's CEO, commented: "This is an important development for the Project and we look forward to receiving the results of the flow test in due course."
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Appointment to Board of HHDL
Alba is also pleased to announce that, in recognition of its increased shareholding in HHDL, which now stands at 15%, Alba's Chairman, George Frangeskides, has been appointed as Alba's representative and a Non-Executive Director on the Board of HHDL.
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Alba's interest in Horse Hill
The HH-1 well is located within onshore exploration Licence PEDL137, on the northern side of the Weald Basin near Gatwick Airport. Alba owns a 15% direct interest in HHDL, a special purpose company that owns a 65% participating interest and operatorship of licence PEDL137 and the adjacent Licence PEDL246 in the UK Weald Basin.
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Qualified Person's Statement:
Stephen Sanderson, Executive Chairman of UK Oil & Gas plc, who has over 30 years of relevant experience in the oil industry, has approved the information contained in this announcement on behalf of Alba. Mr Sanderson is a Fellow of the Geological Society of London and is an active member of the American Association of Petroleum Geologists.
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For further information please contact:
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Alba Mineral Resources plc Michael Nott, CEO Â | Â +44 20 3696 4616 |
Cairn Financial Advisers LLP Avi Robinson / James Caithie | Â +44 20 7148 7900 Â |
Dowgate Capital Stockbrokers Limited Jason Robertson / Neil Badger | Â +44 1293 517744 Â |
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Glossary
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discovery | a discovery is a petroleum accumulation for which one or several exploratory wells have established through testing, sampling and/or logging the existence of a significant quantity of potentially moveable hydrocarbons |
extended flow test | a flow test, as per the permission granted by the Oil and Gas Authority, with an aggregate flow period duration over all zones of greater than 96 hours and up to 90 days maximum. |
flow test | a flow test or well test involves testing a well by flowing hydrocarbons to surface, typically through a test separator. Key measured parameters are oil and gas flow rates, downhole pressure and surface pressure. The overall objective is to identify the well's capacity to produce hydrocarbons at a commercial flow rate |
limestone | a sedimentary rock predominantly composed of calcite (a crystalline mineral form of calcium carbonate) of organic, chemical or detrital origin. Minor amounts of dolomite, chert and clay are common in limestones. Chalk is a form of fine-grained limestone |
sandstone | a clastic sedimentary rock whose grains are predominantly sand-sized. The term is commonly used to imply consolidated sand or a rock made of predominantly quartz sand. |
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Additional Information
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Alba holds a 15 per cent interest in Horse Hill Developments Limited, the company which has a 65 per cent participating interest and operatorship of the Horse Hill oil and gas project (licences PEDL 137 and PEDL 246) in the UK Weald Basin.
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Alba has the right to earn up to 70 per cent of the Amitsoq Graphite Project in Southern Greenland.
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In addition, the Company holds a base metal licence in the Republic of Ireland, and has applied for the reissue of a uranium permit in northern Mauritania. The new Mauritanian permit will be on a reduced area, and is centred on known uranium-bearing showings.
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Alba continues actively to review and discuss other project opportunities which have value-enhancing potential for the Company whether by acquisition, farm in or joint venture in a range of jurisdictions around the world.
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END
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