Kiliwani North First Payments Received

RNS Number : 4835H

Solo Oil Plc

18 August 2016

 

FOR IMMEDIATE RELEASE, 7:00 am                                                                                    18 August 2016

SOLO OIL PLC

("Solo" or the "Company")

Kiliwani North First Payments Received

Solo is pleased to announce that it has been informed by Aminex PLC, operator of the Kiliwani North Field, that payment has now been received for its first invoice in relation to gas produced from the Kiliwani North-1 well in Tanzania during April and May and supplied to the Tanzania Petroleum Development Corporation ("TPDC").  

Payment was made in US$ and in accordance with the Company's Gas Sales Agreement ("GSA") with TPDC. The Company continues to work with TPDC during the current testing period to achieve an optimal rate and during this phase is being paid for all gas produced.

Neil Ritson, Solo's Chairman commented:

"Solo is delighted that the first payment for gas from the Kiliwani North field has been made with minimal delay.  Whilst the first payment is quite small, reflecting initial commissioning rates, ‎ we are pleased that an income stream has now commenced. Future payments will be larger and create an underlying cash flow from operations that will support Solo's ongoing investments.  At a production rate of 25 million cubic feet per day and Solo's current interest these payments equate to approximately US$150,000 per month."

Qualified Person's Statement:

The information contained in this announcement has been reviewed and approved by Neil Ritson, Chairman and Director of Solo Oil plc who has over 38 years of relevant experience in the energy sector. Mr. Ritson is a member of the Society of Petroleum Engineers, an Active Member of the American Association of Petroleum Geologists and is a Fellow of the Geological Society of London.

For further information:

Solo Oil plc Neil Ritson Daniel Maling	[phone]
Beaumont Cornish Limited Nominated Adviser and Joint Broker Roland Cornish	[phone]
Shore Capital Joint Broker Pascal Keane Jerry Keen (Corporate Broker) Bell Pottinger                            Public Relations Henry Lerwill Cassiopeia Services LLP Investor Relations Stefania Barbaglio	[phone] [phone] [phone]

 

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