19 March 2018
Anglo African Oil & Gas plc, an independent oil and gas developer, is pleased to announce that Petro Kouilou, its 100% owned subsidiary in the Republic of the Congo, has finalised a contract with leading oil services company Schlumberger Limited (NYSE:SLB) to supply support services for the drilling of the new TLP-103 well on its 56% owned Tilapia oil field ('Tilapia') in the prolific Lower Congo Basin. Drilling operations at TLP-103 are planned to commence in June 2018.
The services covered by this agreement are:
- Mud logging services
- Wire Line
- Drilling & completion fluids & WBCO
- Casing accessories
- Cementing services
- Drilling bits
- Casing liner hanger
- Completion BHA components
- TCP (perforating guns)
- Completion equipment and qualified completion engineers
- DST operations.
This comprehensive agreement ensures that the Company has now secured all the auxiliary personnel and services necessary to complete the drilling of TLP-103, a new multi-horizon well which, in addition to targeting producing reservoirs and an 8.1m barrel gross contingent resource discovery, will test a deeper prospect which has been assigned 58.4m barrels of gross prospective resources.
The Company also confirms that the workover of TLP-101 has now been completed. A very large build-up of wax in the flow lines has been removed. The build-up of wax had accumulated over a long period of time as no work had been carried out on the flow lines since TLP-101 was brought into production over 10 years ago. The Company has now begun a test programme under which the flow rate and pressure are tested at different chokes; this is designed to determine the optimum flow rate for the well. The Company will announce the results of this test once complete and will then evaluate whether further intervention is needed or merited.
Finally, the workover of TLP-102 by Schlumberger will take place earlier than previously announced and the Company now expects this workover to be completed by early April 2018. The Company will announce the results of this workover once complete.
David Sefton, Executive Chairman, commented, "I am very pleased that the team both in the Congo and London continues to make excellent progress in executing on the development of the asset. In particular, we now have certainty on all material contractors for drilling TLP-103 and so can move with confidence into the final stages of planning for this key new well.
James Berwick and I want to express our thanks in particular to Gerard Bourgoin, the Directeur-General of Petro Kouilou, and the drilling manager, Alain Guiraud, for their extraordinary efforts over recent weeks."
The information communicated in this announcement is inside information for the purposes of Article 7 of Regulation 596/2014.
For further information please visit www.aaog.com or contact:
|Anglo African Oil & Gas plc||Tel: c/o St Brides Partners
+44 20 7236 1177
|David Sefton, Executive Chairman
James Berwick, Chief Executive Officer
|finnCap Ltd (Nominated Adviser and Broker)||Tel: +44 20 7220 0500|
|Christopher Raggett, Giles Rolls, Anthony Adams (Corporate Finance)|
|Emily Morris (Corporate Broking)|
|St Brides Partners (Financial PR)||Tel: +44 20 7236 1177|
|Frank Buhagiar, Hugo de Salis|
Notes to Editors
Anglo African Oil & Gas (AAOG) is an AIM-listed independent oil and gas company that owns a 56% stake in the producing Tilapia oil field in the Republic of the Congo. The Company boasts a low-cost production story in a prolific hydrocarbon region with significant exploration upside, differentiating it substantially from its E&P peers. Additionally, management's remuneration is tied to hitting production milestones, reflecting their strong focus on cost control.
Tilapia has an excellent address, being located close to multi-billion-barrel fields that include the ENI-operated Litchendjili field and the 5,000bopd Minsala Marine field. Tilapia currently produces approximately 38 bopd from two near-surface intervals. It has an undeveloped discovery in the lower Mengo sands with gross contingent resources of 8.1m barrels and a deeper exploration prospect, with gross prospective resources of 58.4m barrels, in the productive Djeno interval from which the adjacent Minsala field produces.