TIDMECO
RNS Number : 9410Q
Eco (Atlantic) Oil and Gas Ltd.
24 October 2019
24 October 2019
ECO (ATLANTIC) OIL & GAS LTD.
("Eco," "Eco Atlantic," "Company," or together with its
subsidiaries, the "Group")
Eco Provides Guyana Operational Update
Eco (Atlantic) Oil & Gas Ltd. (AIM: ECO, TSX--V: EOG) is
pleased to provide an operational update following its two recent
oil discoveries on the Orinduik Block, offshore Guyana.
-- Multiple prospects currently being reviewed with further high
graded candidates under consideration for a 2020 drilling
programme.
-- Operator is preparing a budget for long lead items including wellheads and casing.
-- Jethro and Joe wells drilled on budget. Joe delivered for
less than $21m gross, less than half of the cost of the Jethro
well.
-- Interpretation of data from both the Jethro and Joe
discoveries is ongoing with an updated CPR to be commissioned once
analysis completed.
-- Eco will provide a further update upon JV Partner's budget
approval and agreed drilling locations for the 2020 campaign.
Eco Atlantic, together with its JV Partners on the Orinduik
Block, Tullow Guyana B.V. ("Tullow") (Operator, 60% Working
Interest ("WI")) and Total E&P Guyana B.V. ("Total") (25% WI)
are currently reviewing a post discovery drilling strategy and
supplemental budget, for which Eco will pay its net 15% working
interest funded from its existing cash resources. This includes
post discovery activities on the two recent oil discoveries,
additional exploration research in relation to future well target
selection, and costs associated with activities for the further
wells being considered for drilling in 2020.
Our evaluation of the well data to date on the Jethro-1
discovery has confirmed that the sands intersected were as had been
anticipated in our CPR. Interpretation of the data from the Joe-1
discovery is ongoing. There is the potential for more resource than
previously anticipated, and the reservoir and proven oil charge in
the Upper Tertiary sands on Joe--1 provides encouragement in
relation to many other Upper Tertiary age locations throughout the
Orinduik Block.
Colin Kinley, Co--Founder and Chief Operating Officer for Eco,
commented:
"Our Jethro--Lobe discovery, announced in August 2019, is in a
clean Lower Tertiary amalgamated sandstone. Tullow described the
Jethro-1 well, upon discovery, as having the potential to be a
standalone commercial discovery, having a clear seismic definition
and excellent reservoir. The JV Partners are currently evaluating
the requirements for an appraisal well.
"The Joe--1 discovery on the Orinduik Block, announced in
September 2019, is in a shallow, clean, Upper Tertiary age channel
sandstone. Not only have we opened a new shallow play, furthering
and de-risking other opportunities on the Block, we have also done
this cost effectively. Joe-1, the second well on the Orinduik
Block, was drilled at less than half of Jethro-1's cost, on budget
- under $21 million gross. We believe that these lower drilling
costs positively affect development economics in this play.
Figure 1: Eco Atlantic Orinduik Block Map
http://www.rns-pdf.londonstockexchange.com/rns/9410Q_1-2019-10-23.pdf
"As was the case with the Jethro--Lobe well, we were able to
clearly define the target on the 3D seismic section of Joe--1, and
the well results were in line with our pre-drill expectations The
reservoir and the proven oil charge in the Upper Tertiary sands in
Joe -1 also provides encouragement in relation to many other Upper
Tertiary locations throughout the Orinduik Block, for example the
nearby off--setting Jimmy prospect where Eco believes we now have a
significant increase in the Chance of Success as it appears to be
in the same charged sands.
"With further processing and interpretation of 3D seismic data,
now correlated with our two well discoveries, the location of
further wells to be drilled in 2020 will be defined within the next
few months.
"In addition to geological and geophysical interpretation work,
Eco and its JV Partners have now begun operational budget planning
to secure commercially attractive proposals for the timely
provision of materials and services required to allow for our
drilling program in 2020."
Gil Holzman, Co--Founder and Chief Executive Officer for Eco,
commented:
"After great success in our 2019 drilling campaign, with two
significant oil discoveries, the JV Partners on the Orinduik Block
have many additional targets to consider in the near term. The
newly learned results on Orinduik and the results from the Carapa
well currently being drilled in shallow water on Repsol's adjacent
Kanuku Block, just south of the Orinduik, will greatly assist in
our interpretation and selection of future drilling targets. We are
pleased to support the further work in 2019 and look forward to
approving the 2020 drilling program and budget once finalized. We
are sufficiently capitalized for drilling further wells in the 2020
program.
"With ample de-risked prospects and targets on the highly
prospective Orinduik Block, Eco is well positioned to continue to
generate material shareholder value.
"While we are extremely pleased with our Guyana discoveries and
excited by our near--term drilling plans, we also continue to
advance exploration and value creation on our four Namibian
offshore blocks, where we are seeing an increased inbound interest
and drilling activity in the region."
**ENDS**
For more information, please visit www.ecooilandgas.com or
contact the following:
Eco Atlantic Oil and Gas +1 (416) 250 1955
Gil Holzman, CEO
Colin Kinley, COO
Alice Carroll, Head of Marketing and IR +44(0)781 729 5070
Strand Hanson Limited (Financial & Nominated
Adviser) +44 (0) 20 7409 3494
James Harris
Rory Murphy
James Bellman
Stifel Nicolaus Europe Limited (Joint
Broker)
Callum Stewart
Nicholas Rhodes
Ashton Clanfield +44 (0)20 7710 7600
Berenberg (Joint Broker) +44 (0) 20 3207 7800
Matthew Armitt
Detlir Elezi
BlytheWeigh (PR) +44 (0) 20 7138 3204
Tim Blythe
Jane Lenton
Hannam & Partners (Research Advisor)
Neil Passmore
Hamish Clegg
Canaccord Genuity (North American Advisor)
Simon Akit +1 416 869 3820
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014.
Notes to editors
About Eco Atlantic:
Eco Atlantic is a TSX-V and AIM quoted Oil & Gas exploration
and production Company with interests in Guyana and Namibia, where
significant oil discoveries have been made.
The Group aims to deliver material value for its stakeholders
through oil exploration, appraisal and development activities in
stable emerging markets, in partnership with major oil companies,
including Tullow, Total and Azinam.
In Guyana, Eco Guyana holds a 15% working interest alongside
Total (25%) and Tullow Oil (60%) in the 1,800 km(2) Orinduik Block
in the shallow water of the prospective Suriname-Guyana basin. The
Orinduik Block is adjacent and updip to ExxonMobil and Hess
Corporation's Stabroek Block, on which thirteen discoveries have
been announced and over 6 Billion BOE of oil equivalent recoverable
resources are estimated. First oil production is expected from the
deep-water Liza Field in 2020.
Jethro-1 was the first major oil discovery on Orinduik Block.
The Jethro-1 encountered 180.5 feet (55 meters) of net high-quality
oil pay in excellent Lower Tertiary sandstone reservoirs which
further proves recoverable oil resources. Joe-1 is the second
discovery on the Orinduik Block and comprises high quality
oil-bearing sandstone reservoir with a high porosity of Upper
Tertiary age. The Joe-1 well encountered 52 feet (16 meters) of
continuous thick sandstone which further proves the presence of
recoverable oil resources.
In Namibia, the Company holds interests in four offshore
petroleum licences totalling approximately 25,000km(2) with over
2.3bboe of prospective P50 resources in the Walvis and Lüderitz
Basins. These four licences, Cooper, Guy, Sharon and Tamar are
being developed alongside partners Azinam and NAMCOR. Eco has been
granted a drilling permit on its Cooper Block (Operator).
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
UPDDDBDGDGDBGCX
(END) Dow Jones Newswires
October 24, 2019 02:01 ET (06:01 GMT)
Grafico Azioni Eco (atlantic) Oil & Gas (LSE:ECO)
Storico
Da Giu 2024 a Lug 2024
Grafico Azioni Eco (atlantic) Oil & Gas (LSE:ECO)
Storico
Da Lug 2023 a Lug 2024