6 Sep 2017 07:00
FOR IMMEDIATE RELEASE; Embargoed until 7 am
6 September 2017
SOLO OIL PLC
("Solo" or the "Company")
Submission of Ntorya Development Plan
Solo is pleased to announce that the Development Plan for the Ntorya gas condensate field, located onshore in the Ruvuma Basin Tanzania has been submitted to the Tanzania Petroleum Development Corporation ("TPDC") for approval. The Development Plan is a key step towards monetisation of the Ntorya field which lies within the Ruvuma Basin Petroleum Sharing Agreement ("Ruvuma PSA") where Solo holds a 25% working interest.
The Development Plan, which incorporates the findings from the Gas Commercialisation Study conducted by io oil and gas consulting (a joint venture between a Baker Hughes (a GE Company) and McDermott ), is a comprehensive review of the existing data and includes the findings of new mapping and the recently upgraded resource estimates of approximately 1.3 trillion cubic feet ("tcf") Pmean gas initially in place ("GIIP").
The Development Plan considers several options for gas monetisation including; Compressed Natural Gas, Gas to Power and directly connecting the gas produced from Ntorya to the Madimba Plant in South Eastern Tanzania via a pipeline approximately 35 kilometre in length. Aminex plc ("Aminex"), the operator, has applied for a staged development of the field to allow for an early production scheme with the existing wells and an additional programme of further development wells based on demand.
As part of the development of the Ntorya field and in order to further delineate the reservoir and meet the expanding gas market in Tanzania, Aminex and Solo will review the timing for spudding the Ntorya-3 well and will update the market during Q4 2017.
Neil Ritson, Executive Chairman of Solo, commented:
"Submission of the Ntorya Development Plan is a major milestone as we progress towards unlocking major value in the field and in the Ruvuma PSA generally. Solo is working closely with Aminex on the development and monetisation options and also continues to consider its own monetisation options, which have been greatly enhanced by the significant resources upgrade announced earlier this week and the filing of the development plan. We will continue to update the market as progress on commercialisation proceeds."
For further information:
Solo Oil plc Neil Ritson / Fergus Jenkins | +44 (0) 20 7440 0642 |
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Beaumont Cornish Limited Nominated Adviser and Joint Broker Roland Cornish | +44 (0) 20 7628 3396 |
Shore Capital Joint Broker Jerry Keen
Beaufort Securities Joint Broker Jon Belliss
Buchanan (PR) Ben Romney / Chris Judd / Henry Wilson |
+44 (0) 20 7408 4090
+44 (0) 20 7382 8300
+44 (0) 20 7466 5000 |
Qualified Person's Statement:
The information contained in this announcement has been reviewed and approved by Neil Ritson, Chairman and Director for Solo Oil plc, who has over 39 years of relevant experience in geology, resource estimation and the oil and gas industry. Mr. Ritson is a member of the Society of Petroleum Engineers (SPE), an Active Member of the American Association of Petroleum Geologists (AAPG) and is a Fellow of the Geological Society of London (BGS).
Glossary:
discovery | a petroleum accumulation for which one or several exploratory wells have established through testing, sampling and/or logging the existence of a significant quantity of potentially moveable hydrocarbons |
condensate | gas condensates are liquids that can condense from gas when the temperature and pressure drop sufficiently low, typically condensates exhibit API gravities of > 45 degree |
GIIP | gas initially in-place |
in-place | the volume of hydrocarbons, oil or gas, estimated to be in place within the reservoir converted to standard temperature and pressure |
Pmean | the most likely estimate of a parameter based on all available data being the estimate at the mean of the probability distribution |
PSA | petroleum sharing agreement |
resources | those quantities of petroleum which are estimated, at a given date, to be present in a discovered accumulation |
tcf | trillion cubic feet |
TPDC | Tanzania Petroleum Development Corporation |
Notes to Editors:
Solo Oil plc (Solo), is a natural resources investment company with a diverse portfolio of onshore assets, principally in Europe and Africa. The company seeks to deliver returns through early stage investment in promising projects and uses management's own sector expertise to assist in strategic asset development. Solo's portfolio currently includes extensive interests in the prolific Ruvuma Basin in Tanzania, the Horse Hill oil discovery in the Weald Basin, Helium One Limited, the Tanzanian helium exploration company, and Kiliwani North, a natural gas producing project in Tanzania.