Termination of Ruvuma PSA Farmout, Tanzania

RNS Number : 5391N

Solo Oil Plc

01 February 2016

 

FOR IMMEDIATE RELEASE, 7am                                                                                        1 February 2016

SOLO OIL PLC

("Solo" or the "Company")

Termination of the Farmout of Ruvuma PSA, Tanzania

Solo has been advised by Aminex PLC ("Aminex") that they are not proceeding with their proposed agreement with Bowleven PLC ("Bowleven") to farmout acreage in Tanzania, originally announced to shareholders on 19 November 2015.  A mutually agreeable work programme between the parties and the Tanzania Petroleum Development Corporation could not be agreed and as a result the parties will not now close the transaction announced in December 2015. 

Solo had entered into a back-to-back agreement with Aminex to farm out part of the Company's interest in the Ruvuma Petroleum Sharing Agreement ("Ruvuma PSA"), however, that transaction will also now be terminated by mutual agreement.  Solo's interest in the Ruvuma PSA will therefore remain at 25%.

Neil Ritson, Solo's Chairman, commented:

"The recent signing of the Kiliwani North GSA allows the partnership with Aminex to seek alternative ways to develop our highly prospective Ruvuma acreage.  We are therefore pleased for the time being to retain our existing working interest in the Ruvuma PSA where the partnership is planning to recomplete the Ntorya-1 discovery for early production and drill the Ntorya-2 appraisal well."

For further information:

Solo Oil plc Neil Ritson Fergus Jenkins	[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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