4 Aug 2010 08:00
4th August 2010
Amerisur Resources Plc ("the Company")
AGM Statement
Healthy and increasing cash flow - Strong Balance Sheet - Good Reserves outlook - Active discretionary work programme
Amerisur Resources Plc, the oil and gas explorer and developer focused on South America, holds its Annual General Meeting ("AGM") today at 9.30am.
At that meeting, Giles Clarke, Chairman and John Wardle, Chief Executive will make the following points:
Platanillo Block
·; Declared Commerciality - 24 year term with option to extend
·; Acquired 100% working interest
·; Extended Exploitation Area outside the original Block southwards to the Colombian / Ecuadorian border- additional 4MMBO potential
·; Production rates significantly enhanced - reservoir understanding improved - currently producing 500bopd
·; Monthly gross sales milestone of US$1m achieved in July 2010
·; 125 sq km 3D digital seismic programme starting August 2010
·; Integrated study shows exciting potential in other intervals
Fenix Block
·; Iguasa 1 - near wellbore cleaned up - observed intermittent production at rates of up to 100bopd in natural flow - well now under observation
·; Isabel 1 - successful well tested in natural flow at up to 320bopd - Long Term Test delayed by mechanical failures - now flowing again at lower levels during clean up
Paraguay
·; Remapping and data integration in the San Pedro Block, Paraguay completing September 2010 with 2D Seismic programme to follow thereafter
General
·; Colombia drilling programme targeting 45MMBO of unrisked prospective resources
·; On track to deliver net production rates of up to 5,000bopd by end 2011
·; Cash Balance at 31st July US$25.4m
Giles Clarke will state at the AGM:
"The Board is delighted with the enormous progress made over the last year. The Company is now a profitable enterprise with producing wells in two blocks in Colombia. We have some exciting opportunities to develop our Platanillo field, particularly with the extension along the known productive trend in the basin. I am encouraged by the progress made in the two successful wells drilled in the Fenix block. We also see growing optimism for our Paraguayan San Pedro Block. The Board looks to the future with great confidence."
Ends
Competent person: Technical information in this announcement has been reviewed by John Wardle Ph.D., the Company's Chief Executive. John Wardle has 25 years' experience in the industry, having worked for BP, Britoil, Emerald Energy and Pebercan, and is a trained drilling engineer.
For further information please contact:
| Billy Clegg/Caroline Stewart Financial Dynamics
| Tel: +44 (0)207 831 3113
|
| Martin Eales RBC Capital Markets
| Tel: +44 (0) 20 7029 7881 |