27 May 2016 07:00
27 May 2016
PRESIDENT ENERGY PLC
("President" or "the Company")
ARGENTINA DRILLING UPDATE
President (AIM: PPC) announces a further update on its activities in Argentina.
Current Operations
President's current normalised production from its Puesto Guardian Concession is running at a daily rate of over 500 bopd with a new workover programme underway on a further two producing wells aimed at maintaining and enhancing production levels. That level of production is nearly double the average level of production during 2015.
New Drilling Operations
A three development well programme is now projected to commence before the end of July, subject to all appropriate contracts being in place. The programme is currently planned to be completed and the wells brought on stream in stages through H2 2016. The results will then be analysed with a view to considering a further drilling programme in 2017 on a step by step basis. The wells will be side tracks from existing shut in wells with horizontal producing sections, will comprise one well each from the Company's Dos Puntitos, Pozo Escondido and Puesto Guardian fields, and will target both proven and probable oil reserves. Planning is advanced and discussions with contractors are ongoing with long lead items in the process of being ordered.
President's existing lender, IYA Global Limited, part of Peter Levine's PLLG Investment Group of Companies has indicated its agreement in principle to provide the entire financial support for the programme by way of unsecured senior debt on final terms anticipated to be agreed in early course.
A further announcement will be made in connection with the drilling programme at or before the forthcoming Annual General Meeting of the Company scheduled for 28 June 2016.
Miles Biggins, Bsc Joint Honours University College London, with 25 years of experience in the oil and gas sector, is a Petroleum Engineer and member of the Society of Petroleum Engineers who meets the criteria of qualified persons under the AIM guidance note for mining and oil and gas companies, has reviewed and approved the technical information contained in this announcement.
Contact:
President Energy PLC Peter Levine, Chairman Miles Biggins, COO
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+44 (0) 207 016 7950 +44 (0) 207 016 7950
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Peel Hunt LLP Richard Crichton, Ross Allister
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+44 (0) 207 418 8900 |
RBC Capital Markets Matthew Coakes, Daniel Conti
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+44 (0) 207 653 4000 |
Bell Pottinger Gavin Davis, Henry Lerwill and Charles Stewart |
+44 (0) 203 772 2500
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