9 Feb 2010 07:00
9 February 2010
Victoria Oil & Gas Plc
("VOG" or the "Company")
Update of Logbaba Gas and Condensate Project, Cameroon
·; Well La-106 spudded on 6 February 2010
·; La-106 design changed to target most prospective areas of existing discovery
·; Testing of La-105 expected to commence in February while drilling of La-106 is on-going
Victoria Oil & Gas Plc, (AIM: VOG), the oil and gas exploration and development company with assets in Cameroon and the FSU, is pleased to announce that Well La-106 was spudded on 6 February 2010 at its Logbaba gas and condensate project ("Logbaba") in Douala, Cameroon.
La-106 is the second well to be drilled by VOG at Logbaba and will twin Well La-101, which was drilled by Elf SEREPCA in 1954. The well will be drilled from the same well-pad as La-105 and, following the results of the passive seismic survey announced on 4 February 2010, will be deviated to a bottom-hole location around 390 metres north-west of La-101 to access one of the most prospective areas of the existing discovery.
The proposed total depth is approximately 8,700 feet (measured depth) and drilling is anticipated to take around 60 days. While La-106 is being drilled, testing of the gas-bearing zones of La-105 will be undertaken and this testing is expected to commence in February.
The La-105 open-hole log data and the passive seismic survey results are expected to justify significant additional proved and probable reserves to the 104 billion cubic feet for the field estimated by RPS Energy in 2008. Logbaba remains the only onshore discovery in Cameroon and is ideally positioned to supply natural gas to industrial customers in Douala, of which around half the existing market has already signed gas off-take contracts and letters of intent at a price of $16 per thousand cubic feet of gas.
Victoria Oil & Gas Plc - Tel: +44 (0) 20 7921 8820
George Donne / Kevin Foo
Strand Hanson Limited - Tel: +44 (0) 20 7409 3494
Simon Raggett / Angela Peace
Fox-Davies Capital - Tel: +44 (0) 20 7936 5220
Daniel Fox-Davies / Oliver Stansfield
Conduit PR - Tel: +44 (0) 20 7429 6611
Jonathan Charles / Ed Portman
The information in this release has been reviewed by Radwan Hadi, who is a qualified person for the purposes of the AIM Guidance Note for Mining, Oil and Gas Companies. Mr. Hadi, Deputy Managing Director of Blackwatch Petroleum Services Limited and Chief Operating Officer of VOG, is a petroleum/reservoir engineer with over 30 years experience in oil and gas exploration and production.
Background Information on Victoria Oil & Gas Plc:
Victoria Oil & Gas is an independent oil and gas exploration and production company with projects in Africa and the FSU. The Company's principal assets are the Logbaba gas and condensate project in Cameroon and the West Medvezhye gas field in Siberia, Russia. Logbaba is located in Douala, the economic capital of Cameroon. The field was discovered in the 1950s and all four exploration wells encountered gas. West Medvezhye is situated in the prolific Yamal-Nenetsk hydrocarbon region in Siberia. An independent reserve audit estimated prospective resources for the field of over 1.1 billion barrels of oil equivalent.