Last checked at 9 Jun 2010 10:00
SOCO International
('SOCO', the 'Company' or 'the Group')
AGM Statement
At the SOCO AGM, held today, the following statement has been made:
"It is purely coincidental that today's meeting is on the same day that we launch the first of three or four exploration/appraisal wells that have the potential to transform this Company. The Maersk Convincer jack-up rig has moved on location today to drill the Te Giac Den 2X appraisal well offshore Vietnam. As was announced earlier, SOCO is drilling this well on a sole risk basis.
In just over a month's time, we expect to spud the first of several wells to test the exploration potential of the Nganzi Block onshore the Democratic Republic of Congo. We will announce within several weeks whether or not we will invite a partner to join us in this venture. However, in any event we will act as operator and retain a majority and significant participating interest in the project.
Whilst these events offer the opportunity of increasing our reserve base several fold, there are ongoing parallel activities also of importance to the Company's future. The first well in the Phase II development of the Ca Ngu Vang producing well has indicated good water injection results. We would expect to see a meaningful response to the injection programme toward the end of the third quarter of this year.
Elsewhere, work continues on course to set the initial platform this summer on the Te Giac Trang field which is under development. Once installed, development drilling from the platform will commence immediately with the target being to begin production in the summer of 2011.
With the January placing and the put option date on the convertible bond behind us, we have a strong balance sheet to fund our capital programme. We currently have circa $245 million in cash and equivalents.
There is no question that the next six months will be the most significant period for the Company since inception as we crystallise both the largest exploration programme and the biggest development project in our history."
9 June 2010
ENQUIRIES
SOCO International plc
Roger Cagle, Deputy Chief Executive and Chief Financial Officer
Tel: 020 7747 2000
Pelham Bell Pottinger
James Henderson Tel: 020 7861 3232
Evgeniy Chuikov Tel: 020 7861 3232
NOTES TO EDITORS:
SOCO is an international oil and gas exploration and production company, headquartered in London, traded on the London Stock Exchange and a constituent of the FTSE 250 Index. The Company has interests in Vietnam, Thailand, the Republic of Congo (Brazzaville), the Democratic Republic of Congo (Kinshasa) and Angola, with production operations in Vietnam and Thailand.
SOCO holds its interests in Vietnam, all in the Cuu Long Basin offshore, through its 80% owned subsidiary SOCO Vietnam Ltd. ('SOCO Vietnam') and through its 100% ownership of OPECO Inc. SOCO Vietnam holds a 25% working interest in Block 9-2, which is operated by the Hoan Vu Joint Operating Company and holds a 28.5% working interest in Block 16-1, which is operated by the Hoang Long Joint Operating Company. OPECO Inc. holds a 2% interest in Block 16-1.