Iti 1 Update

RNS Number : 4029Z

Global Petroleum Ltd

21 September 2009

 



Iti-1 Conclusions Revised

Global Petroleum Limited advises that Tower Resources plc ('Tower') has announced that it has concluded a detailed evaluation of information from the Iti-1 exploration well in Uganda Licence EA5. 

Analyses and interpretations have been carried out by independent experts and specialists using relevant laboratories in the UK. The overall findings of the re-evaluation is that the Iti-1 well found 15-20 metres of clean reservoir sands, with significant potential to contain oil just above basement between 540 and 575 meters. Tower has advised that this conclusion would need to be verified by a well test, and given the high cost of re-entering the existing well it is likely that the company will instead drill another well on the Iti structure at a later date. However, Tower's first priority, and commitment under its work programme, is to drill a second exploration well, and the company is still considering the best location for this second well in light of the information that the Iti-1 well has provided. Tower hopes, subject to Government approval, to drill this second well in early 2010, with a target of February.

Tower has commenced discussions with the Government of Uganda to jointly agree the significance of these updated results. The immediate work programme will focus on evaluating prospective well locations and planning for drilling a second exploration well early in 2010. A further update will be provided once Tower has agreed a firm forward programme with the Government of Uganda, hopefully in the second half of October. A follow up well on the Iti structure will be considered in due course to confirm a working hydrocarbon system within the structure.

Enquiries:

Global Petroleum Limited
Shane Cranswick	Tel	+ 61 8 9322 6322
	Email	[e-mail]
Astaire Securities Plc (Nominated Adviser and Broker)
William Vandyk	Tel	[phone]

 

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