30th Apr 2019 14:30
LONDON (Alliance News) - Anglo African Oil & Gas PLC on Tuesday said the government of the Republic of the Congo has offered a new licence at the Tilapia field.
The government sent a letter, signed by Minister of Hydrocarbons Jean-Marc Thystere Tchicaya, to AAOG, with the two parties now set to finalise a production sharing agreement for Tilapia.
The new licence will last 25 years, with the company keeping its 56% stake.
AAOG Executive Chair David Sefton said: "This is excellent news for the company. The confirmation we will receive a new licence represents a major milestone for AAOG and follows hard work by [Chief Executive Officer] James Berwick and the team through a period of extensive negotiation with the government and the completion of a due diligence review of AAOG by the ministry.
"We have long believed in the potential of Tilapia. This potential was demonstrated by the excellent results of the recent TLP103C well."
"Notably, the well-encountered oil shows in all target horizons, including the Djeno Sands, which flows at rates of up to 5,000 barrels of oil a day per well on neighbouring fields. We continue advanced work on enhanced production and the full development of Tilapia," he added.
Shares were 0.4% higher on Tuesday afternoon in London at 10.04 pence each.
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