17 Jun 2016 07:00
RED EMPEROR RESOURCES NL - SC 55 - Moratorium GrantedRED EMPEROR RESOURCES NL - SC 55 - Moratorium Granted
PR Newswire
London, June 16
17 June 2016
Red Emperor Resources NL
SC 55 – Moratorium Granted
Red Emperor Resources NL (ASX | AIM: RMP) is pleased to provide the following update with respect to Service Contract 55 (SC 55), offshore Palawan Basin in the Philippines.
Red Emperor has been advised that the Joint Venture has formally received approval from the Philippines Department of Energy for a two-year moratorium, until 23 December 2017, on required work activity under Service Contract 55. During the moratorium period, the consortium will conduct specialized geophysical studies in the area surrounding the Hawkeye prospect which encountered gas shows when it was drilled last year. Although the Hawkeye well did not encounter gas in commercial quantities, it proved the presence of an active petroleum system in the contract area which hosts the “Cinco Prospect” as well as several other leads.
As announced previously, Otto Energy Limited (ASX: OEL) has advised the JV of its intention to exit the Block SC 55 as part of its strategy to focus on its North American assets. Red Emperor intends to have its full, proportionate interest be assigned and as a result its working interest will increase from 15% to 37.5%.
In conjunction with Red Emperor’s commitment to SC 55, the Board continues to review and evaluate new opportunities it believes could compliment the current assets in the portfolio. The Company looks forward to providing the market with more information on these potential opportunities as they develop.
For further information please visit www.redemperorresources.com or contact:
Red Emperor
Greg Bandy +61 8 9225 2826
Grant Thornton UK LLP
Philip Secrett/Jen Clarke/Jamie Barklem +44 20 7383 5100
Brandon Hill Capital Limited
Jonathan Evans +44 20 3463 5010