18 Apr 2011 07:00
18 April 2011
ARGOS RESOURCES LIMITED
("Argos" or "the Company")
Update on 3D Seismic Acquisition
Argos Resources Limited (AIM: ARG.L), the Falkland Islands based exploration company focused on the North Falkland Basin, is pleased to announce that the Company has completed the acquisition of 3D seismic data over the entire area of its PL001 licence in the North Falkland Basin.
A total of 1,415 net square kilometres of 3D seismic data has been acquired. This includes coverage over the entire licence area, a halo outside the licence boundaries and tie-ins to key wells. A high priority area from this total has been carved out and is being processed on a fast-track basis to be ready for interpretation and prospect mapping by July 2011. It is the Company's objective to be ready to drill exploration wells in late 2011/2012 in order to have the option to use the Ocean Guardian drilling rig currently operating in the area.
The Company is also using the opportunity of having a seismic vessel under contract in the area to acquire additional 3D seismic data in open acreage to the north of the licence to identify additional prospectivity in the northerly continuation of the Basin. This acquisition in open acreage has now commenced.
Commenting on this progress, Ian Thomson, Chairman of Argos, said:
"We are delivering on the 3D seismic acquisition plans announced on 30 December 2010, and are pleased with the progress being made. Processing of the new 3D data has commenced and early indications are that this is the best quality 3D data that has been acquired in the basin to date. We are therefore encouraged that we will have excellent data for prospect mapping which we expect to undertake from July".
For further information:
Argos Resources Ltd (+500 22685)
www.argosresources.com
Ian Thomson, Chairman
John Hogan, Managing Director
Evolution Securities Limited (+44 20 7071 4300)
Tim Redfern
Neil Elliot
Adam James
Citigate Dewe Rogerson (+44 20 7638 9571)
Martin Jackson
George Cazenove
Kate Lehane
Notes to Editors
1. To view a map of the area of planned 3D seismic coverage, click on the following link: http://www.argosresources.com/operations.asp
2. Argos is an oil and gas exploration company based in the Falkland Islands. The principal asset of the Company is a 100 per cent. interest in Production Licence PL001, covering approximately 1,126km2 in the North Falkland Basin (the "Licence Area"). Based on the 2D seismic survey conducted in 1996, seven prospects and five leads have been identified by Argos in the Licence Area. The combined potential of the seven prospects is estimated to be 747 million barrels of unrisked recoverable oil, in the most likely case, and up to 1.75 billion barrels in the upside case. The Licence Area adjoins licence areas being explored by Rockhopper Exploration plc and Desire Petroleum plc, who are undertaking a new and extensive exploration drilling campaign in the North Falkland Basin.
3. The Company has a strong and experienced management team with significant experience in both the oil and gas industry and the Falkland Islands. The Company has completed a 3D seismic programme over the prospects identified from the interpretation of 2D seismic data, with a view to better defining those prospects, and potentially identifying new prospects, leading to the selection of possible targets for an initial drilling programme in the fourth quarter of 2011 and in 2012.