Drilling Operations and PSC Extension update

RNS Number : 2015A

Petro Matad Limited

28 May 2019

 

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY PETRO MATAD LIMITED TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION (EU) NO. 596/2014 ("MAR"). ON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

28 May 2019

Petro Matad Limited

("Petro Matad" or the "Company")

Block XX Drilling Operations and Blocks IV and V Extension Update

Petro Matad Limited (AIM: MATD), the AIM-quoted Mongolian oil explorer, is pleased to provide an update on preparations for the 2019 drilling campaign in Block XX and PSC extension applications for Blocks IV and V.

Block XX

Well site construction has commenced on the Heron 1 location and is expected to be completed within 10 days. The site construction contractor will then move to the Gazelle 1 location and from there to Red Deer 1. All three sites are expected to be complete by the end of June. The work is being carried out by the same construction contractor that successfully prepared the sites for the Company's 2018 drilling campaign.

A contractor has been chosen to drill two water supply wells, one for operations at Heron and Gazelle and one for Red Deer. The contractor will mobilise to Heron in early June.

Permitting, procurement activities and rig preparations are progressing well, ahead of the exploration drilling campaign. The DQE rig has completed its pre-move testing and certification and the required electrical upgrade is expected to be completed in the first week of June.

The Company continues to target an early July spud date for the Heron well with the Red Deer well expected to spud in the second half of July. Drilling of the Gazelle well will immediately follow Heron, after a short rig move.

Blocks IV and V

The applications for entry into the final two-year term (to July 2021) of the Exploration Phases of Blocks IV and V, submitted in mid-April 2019, are under review by the regulator (MRPAM), with final clarification meetings expected shortly. 

A further update will be provided in due course.

For further information please contact:

Petro Matad Limited
Mike Buck, CEO	[phone] / [phone]
Stockdale (Nominated Adviser and Broker)
Richard Johnson Andy Crossley David Coaten	[phone]
Stifel Nicolaus Europe Limited (Broker)
Callum Stewart Nicholas Rhodes Ashton Clanfield	[phone]
FTI Consulting (Communications Advisory Firm)
Sara Powell Ben Brewerton	[phone]

About Petro Matad

Petro Matad is the parent company of a group focussed on oil exploration, as well as future development and production in Mongolia. At the current time, Petro Matad holds the sole operatorship of three Production Sharing Contracts with the Government of Mongolia. Block XX has an area of 10,340 square kilometres in the far eastern part of the country, and Blocks IV and V have an area of 28,900 square kilometres and 21,100 square kilometres, respectively, in the southwest part of the country.

Petro Matad Limited is incorporated in the Isle of Man under company number 1483V. Its registered office is at Victory House, Prospect Hill, Douglas, Isle of Man, IM1 1EQ.

For further information on Petro Matad Limited, see the website at: www.petromatadgroup.com

 

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