Last checked at 18 Dec 2009 12:30
18 December 2009
Uganda Update
Tower Resources plc ("Tower" or the "Company")
Drilling Rig contract signed
Target spud date of early February reaffirmed
Tower Resources plc (AIM:TRP), the oil and gas exploration company with interests in sub-Saharan Africa, principally in Uganda and Namibia, is pleased to announce that its wholly owned subsidiary, Neptune Petroleum (Uganda) Limited ("Neptune"), has signed a contract with Oil & Gas Exploration Company Cracow Limited (OGEC) for a land rig to drill the Avivi-1 exploration well in Exploration Area 5 ("EA5"), Uganda.. Drilling will begin after full EIA approval and consent to drill has been received but Neptune is confident that this can be achieved to meet a 1st February 2010 spud date.
The OGEC IDECO IRI-750 rig, which is in Uganda, has been engaged in a substantial and effective recent drilling programme in Licences EA1 and EA2 which included 15 wells and all were mechanically successful. The crew, therefore, also has considerable experience of drilling in the Albertine Graben of Uganda.
The Avivi-1 well has a primary stratigraphic target interval below 702m and a secondary target interval which is immediately above expected basement at a depth of 833m. The higher interval is targeted to encounter high quality fluvial sandstones, similar to those found in the successful wells in Licence EA1, adjacent to EA5, but which were absent in Tower's first exploration well, Iti-1. The deeper prospective interval may have alluvial sandstones similar to those encountered in the basal reservoir at Iti-1, but of improved quality. It is anticipated that the well will take about two weeks to drill to total depth.
Peter Kingston, Executive Chairman of Tower Resources, commented; "The Tower Board is very pleased to have signed the rig contract and to have received the agreement of the Government of Uganda to begin operational activities. We are now moving ahead with well site preparations in anticipation of spud on or about 1st February 2010."
In accordance with AIM guidelines, Peter Kingston, who is a petroleum reservoir engineer with over 40 years experience in technical, executive and advisory roles in the oil exploration and production industry, and is Executive Chairman of the Company, is the qualified person that has reviewed and approved the technical information contained in this announcement.
Contacts:
| Tower Resources plc | www.towerresources.co.uk |
| Peter Kingston, Chairman | 07802 804852 |
| Astaire Securities (NOMAD and Broker) | |
| Lindsay Mair/Jerry Keen | 020 7448 4400 |
| Aquila Financial Limited (PR) | www.aquila-financial.com |
| Peter Reilly | 0118 979 4100 |