11 Apr 2017 07:00
11 April 2017
Savannah Petroleum PLC
("Savannah" or the "Company")
Update on Drilling Campaign
Savannah Petroleum PLC ("Savannah") is pleased to provide an update on its upcoming drilling campaign in Niger.
Focus of Initial Campaign on R3
The Company can confirm that the focus of its initial three well drilling campaign is intended to be on the R3 PSC (the "R3 PSC Area"). The R3 PSC Area sits within a proven petroleum "sweet spot" in the basin, with some of the largest discoveries located in adjacent areas to the north and south, including the currently producing fields. It is also located in close proximity to existing and planned infrastructure in the basin. Initial indications from the recently completed R3 East seismic survey confirm the existence of multiple fault blocks, which have similar configurations to these fields and discoveries. An R3-focused programme also allows for a more efficient and cost effective drilling campaign, by avoiding lengthier rig moves between blocks.
Further details in relation to the prospectivity of the R3 East seismic survey and the Company's chosen exploration targets will be announced in due course. The preferred initial drilling candidates are expected to offer the opportunity for the Company to evaluate multiple stacked objectives with simple well trajectories that have low operational risk.
Drilling Rig
Further to the previously announced signature of the Letter of Award with Great Wall Drilling Company Niger SARL, Savannah has now been offered the opportunity to use rig GW215 instead of GW89. GW215 is already in Niger and is coming off contract from another operator, where it has been operating effectively with an experienced crew. The Company expects that using a "warm" rig, as opposed to GW89 which was stacked and subject to an element of recommissioning, will lead to greater operational efficiency during the campaign.
Drilling Operations
Savannah is also pleased to announce that construction of a logistics camp and pipe yard (the "Camp") to be used throughout its drilling operations has commenced. The Camp is located on Savannah's R3 PSC area, in close vicinity to the Jaouro airstrip.
The Company continues to expect drilling operations to commence during the first half of this year and will provide further updates as and when appropriate.
For further information contact:
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Savannah Petroleum | +44 (0) 20 3817 9844 |
Andrew Knott, CEO |
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Jessica Hostage, Corporate Communications |
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Strand Hanson (Nominated Adviser) | +44 (0) 20 7409 3494 |
Rory Murphy |
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James Spinney |
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Ritchie Balmer |
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Mirabaud (Joint Broker) | +44 (0) 20 7878 3362 |
Peter Krens |
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Rory Scott |
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Stifel Nicolaus Europe Limited (Joint Broker) | +44 (0) 20 7710 7600 |
Callum Stewart Nicholas Rhodes |
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Ashton Clanfield |
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Celicourt Communications | +44 (0) 20 7520 9266 |
Mark Antelme |
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Jimmy Lea |
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The information contained within this announcement is considered to be inside information prior to its release, as defined in Article 7 of the Market Abuse Regulation No. 596/2014, and is disclosed in accordance with the Company's obligations under Article 17 of those Regulations.