2 Sep 2009 07:00
2nd September 2009
Amerisur Resources plc ("the Company")
Update re Paraguay
Amerisur Resources plc, the oil and gas producer and explorer focused on South America, is pleased to report an update following the Board and its legal representatives holding a series of successful meetings with senior Paraguayan Government officials in Asuncion, Paraguay. The Board was honoured with a meeting with His Excellency Acting President Federico Franco (as President Lugo was out of the country).
The Company held constructive discussions with the Government as to how it could further develop its position and operations within Paraguay. The Company has made major efforts this year on developing its prospects in Paraguay, where it holds a 100% interest in the San Pedro block in eastern Paraguay (800,000 hectares) and the Curapayty block in North Chaco (800,000 hectares).
The Company is extremely encouraged by the results of the extensive geochemical work undertaken so far. These demonstrate the presence of hydrocarbons in the basin which may be present in significant commercial quantities, and the Company's work indicates that four leads analysed in its San Pedro block may contain unrisked potential resources of up to 900 million barrels of oil.
Further geochemical investigation work will be undertaken during the next four months in its blocks. Amerisur anticipates that following interpretation of this work during the first quarter of 2010, a programme of acquisition of additional 2D seismic data will also be carried out in 2010 with the intention of establishing a drilling programme subsequently.
The Company also discussed with Ministers the proposed social projects which will accompany its field activities in rural Paraguay, which it is fully supportive of. These discussions have strengthened the Company's belief that the drivers for pursuing opportunities in Paraguay are increasing, and that the oil and gas potential of this region is extremely exciting.
Mr Giles Clarke, Chairman of Amerisur, said:
"I am very pleased with the extremely constructive discussions that we held with the Paraguayan authorities. We believe that our current and future exploration programme will represent the largest British investment in Paraguay and we see very exciting potential."
Dr John Wardle, Chief Executive Officer of Amerisur, said:
"We anticipate a positive outcome of the current geochemical investigation work at the end of this year, and believe that following this Amerisur will be in an excellent position to develop further our plans for San Pedro and Curapayty blocks in Paraguay in 2010."
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