Operations Update

RNS Number : 3714G

Gold Oil PLC

11 May 2011

 

GOLD OIL PLC

("Gold Oil" or the "Company")

Peru Operations Update

Gold Oil, the AIM-listed oil and gas exploration and production company with primary focus on opportunities in Latin America, is pleased to provide the following update on its operations on Block Z34, offshore Peru.

On May 09, 2011 Gold Oil was notified by the Peruvian Ministry of Energy and Mines that it has approved the environmental permit (PMA) covering Block Z34 for shooting a maximum of 808 sq km of 3D seismic offshore.  As a result, the contract governing Block Z34 is now no longer subject to Force Majeure.  Gold Oil has entered into negotiations to finalise the exact number of days to be added to the contract term under the Force Majeure provisions.

Gold Oil is currently in discussions with a number of seismic contractors to ascertain the availability and cost estimates associated with a 3D programme over the block in order to progress the exploration of the area as quickly as is possible.  Gold Oil currently intends to acquire an initial 500 sq km of 3D seismic data over the southern part of Block Z34, considered to be the most prospective area.

A further announcement, including the proposed timing of the work programme, will be made once a seismic contractor has been formally appointed.

Richard Mew, Chief Executive commented "This is excellent news that following our recent placing we are able rapidly to progress the effective evaluation of this key asset.  We are working hard to finalise commercial arrangements with a seismic contractor and expect to be able to reach agreement within the next few weeks.  This puts us firmly on track with our plans to commercialise this block"  

For further information on the Company, visit www.goldoilplc.com or contact:

Gold Oil Plc

Richard Mew - CEO                                                                                            Tel: [phone]

Seymour Pierce Ltd (Nomad and Joint Broker)

Jonathan Wright / Stewart Dickson (Corporate Finance)                             Tel:  [phone]

Richard Redmayne / David Banks (Corporate Broking)                     

FirstEnergy Capital LLP (Joint Broker):                                                                                                                 

Hugh Sanderson / Travis Inlow                                                                         Tel: + 44 (0) 20 7448 0200

11 May 2011

 

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