Last checked at 28 Sep 2023 14:42
28th September 2023
WESTMOUNT ENERGY LIMITED
("Westmount" or the "Company")
Namibia exploration and appraisal program - Africa Oil Corp update
Westmount Energy Limited (UK AIM: WTE.L, USA OTCQB: WMELF), the AIM-quoted oil and gas investing company focussed on high impact drilling outcomes in emerging basins, notes the update provided this morning by Africa Oil Corp. ("AOC"; TSX: AOI.TO, Nasdaq Stockholm: AOI.ST) with respect to exploration and appraisal activities on Blocks 2913B and 2912, in the Orange Basin, offshore Namibia. The update heralds a major milestone in the appraisal of the giant Venus light oil discovery with the successful re-entry, sidetracking and drill stem testing ("DST") of the Venus-1X discovery well, which should contribute to the progression of development studies supporting the first commercial development in Block 2913B.
The update also confirms the successful drilling, coring and logging of the first appraisal well, Venus-1A, which was drilled, using the Tungsten Explorer drillship, approximately 13km north of the Venus-1X discovery well. Venus-1A will now be re-entered in the coming days and undergo a DST program using the Deepsea Mira rig.
Following the completion of operations at the non-commercial Nara-1X exploration well on Block 2912 the Tungsten Explorer drillship will now mobilize to drill the substantial Mangetti-1X prospect, located on Block 2913B, immediately to the north of the giant Venus light oil accumulation1.
AOC is a publicly listed Independent E&P company with producing and development assets in deep-water Nigeria and a portfolio of exploration and appraisal assets, located offshore west and south Africa as well as offshore Guyana. AOC holds its interests through direct ownership interests in concessions and through its shareholdings in private and publicly listed investee companies, including: Prime Oil & Gas Coöperatief U.A.; Impact Oil & Gas Ltd.; Africa Energy Corp.; and Eco (Atlantic) Oil and Gas Ltd. Up to date detailed disclosure with respect to AOC's overall strategy, portfolio of assets, production guidance, dividend and shareholder return policies is available via its 'Report to Shareholders for the Period Ended March 31, 2023' https://africaoilcorp.com/site/assets/files/1842/africa_oil_corp_-_2023_june_30_-report_to_shareholders.pdf. Other more recent and historical disclosures are available on its website www.africaoilcorp.com.
AOC has an effective interest of 6.2% in Block 2913B and an effective interest of 5.9% in Block 2912 as a result of its 31% shareholding in Impact Oil & Gas Limited. Westmount's holding of 300,000 shares in AOC, represents approximately 0.065% of the issued common shares in AOC as of 28th August 2023. This investment provides liquid exposure to the ongoing testing program of the significant Venus light oil discovery on Block 2913B in addition to the evaluation of other giant targets on the block, including the imminent drilling of the Mangetti-1x exploration well.
Gerard Walsh, Chairman of Westmount Energy Ltd. commented:
"Today's positive update by our investee AOC confirms our view that the Orange basin is a major emerging, prolific, hydrocarbon province which offers Westmount shareholders continuing exposure to high impact drilling outcomes, including the imminent Magnetti-1 exploration well. We also note the commentary provided yesterday at the TotalEnergies Investor Day presentations, with the operator of the giant Venus Discovery sufficiently confident, after the initial testing program of the Venus-1X discovery well, to declare that there will be an oil field development at Venus, thereby underpinning the forward appraisal and exploration program on Block 2913B. So an exciting program of testing and drilling lies ahead and we look forward to further newsflow in this regard."
1https://totalenergies.com/sites/g/files/nytnzq121/files/documents/2023-09/TotalEnergies_2023_Strategy_Outlook_presentation.pdf
For further information, please contact:
Westmount Energy Limited www.westmountenergy.com
David King, Director Tel: +44 (0) 1534 823000 email: westmountenergy@stonehagefleming.com
Cavendish Securities plc (Nomad and Broker) Tel: +44 (0) 20 7397 8900
Neil McDonald/Peter Lynch (Corporate Finance)