Award of Reserves Report Contract to OIL

RNS Number : 3272K

Tower Resources PLC

10 April 2018

 

 10 April 2018

Tower Resources plc

Award of Reserves Report Contract to Oilfield International Ltd

Tower Resources plc (the "Company" or "Tower" (TRP.L, TRP LN)), the AIM listed oil and gas company with its focus on Africa, is pleased to announce the award to Oilfield International Ltd ("OIL") of a contract to act as Competent Person ("CP") and prepare a Reserves Report in respect of Tower's Thali license in Cameroon.

The contract, awarded following a competitive tender, will cover a review of Tower's work on the Thali license to date, including historical well data and regional datasets. The preliminary reprocessed 3D seismic data, which Tower has now received from DMT Petrologic, together with the final dataset to be received over the next couple of weeks, will also be incorporated into the Reserves Report. OIL expects to complete its work during May 2018, with the report expected to be completed and available reasonably soon after.

Oilfield International Ltd, established in 1990, provides technical, valuation, acquisition and contracts services to oil companies and governments. Their website can be found at www.oilfieldinternational.com.

Jeremy Asher, Chairman & CEO, commented:

"We are looking forward to completing a more detailed evaluation of the many prospects on the Thali block, especially the existing discoveries at Njonji. Our work and OIL's work, over the coming weeks, should identify new potential leads and prospects, and will crystallise greater confidence in the volumetric estimates. This will form the basis for the Reserves Report and our drilling plans."

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

Contacts

Tower Resources plc	[phone] [e-mail]
Jeremy Asher Chairman and CEO
Andrew Matharu VP - Corporate Affairs
SP Angel Corporate Finance LLP Nominated Adviser and Broker	[phone]
Stuart Gledhill
Caroline Rowe

Notes:

Tower Resources Cameroon S.A, a wholly-owned subsidiary of Tower Resources plc, holds a 100% interest in the shallow water Thali (formerly known as "Dissoni") Production Sharing Contract (PSC), in the Rio del Rey basin, offshore Cameroon. Tower was awarded the PSC on 15 September 2015 for an Initial Exploration Period of 3 years.

The Thali PSC covers an area of 119.2 km², with water depths ranging from 8 to 48 metres, and lies in the prolific Rio del Rey basin, in the eastern part of the Niger Delta. The Rio del Rey basin has, to date, produced over one billion barrels of oil and has estimated remaining reserves of 1.2 billion barrels of oil equivalent ("boe"), primarily at depths of less than 2,000 metres. The Rio del Rey is a sub-basin of the Niger Delta, an area in which over 34.5 billion barrels of oil has been discovered, with 2.5 billion boe attributed to the Cameroonian section. The Thali Block has the potential to hold up to four distinct oil play systems, including the established play in which three discovery wells, one gas (Rumpi-1), one oil and gas (Njonji-2) and one oil (Njonji-1), have already been drilled. The current contingent Oil-In-Place estimate for the Njonji discovery is 39 million barrels (Pmean, gross) with an estimated 7 to 15 million barrels of recoverable oil. These have historically been viewed as sub-commercial discoveries, but once the re-interpretation of seismic imaging has been achieved Tower sees potential to add incremental oil reserves to achieve commerciality. There is also significant potential to develop prospects at deeper levels, in both structural and stratigraphic traps, once better imaging has been achieved. 

In accordance with the guidelines for the AIM market of the London Stock Exchange, Dr Mark Enfield, BSc, PhD, FGS, Advisor to the Board of Tower Resources plc, who has over 30 years' experience in the oil & gas industry, is the qualified person that has reviewed and approved the technical content of this announcement.

 

END

 

 

MSCEASLNELLPEFF