7th Sep 2018 12:26
LONDON (Alliance News) - Anglo African Oil & Gas PLC said Friday that it relocated a rig in Republic of Congo that faced several geological drilling challenges.
Oil and gas developer, Anglo African confirmed the TLP-103 well was spudded on August 15 using an SMP-102 drilling rig at the Tilapia field in the Republic of Congo. However, poor geological conditions in a shallow section caused unsafe ground movement.
As a result, the company said drilling in that location has ceased at the recommendation of drilling contractor SMP. Work will resume in a new location 100 metres north-west of the current position, with plans for the TLP-103 well to be re-spudded.
Anglo African Oil & Gas said the process of changing location, moving the rig and re-spudding the TLP 103 well is expected to take around 25 days, with a further 64 days of drilling.
The company plans to meet any incurred overrun costs with a combination of contingencies in its drilling budget, claims under insurance policies, and available offers of debt finance.
Anglo African Oil & Gas confirmed that they remain committed to drilling the TLP-103 well despite these delays.
Shares in Anglo African Oil & Gas were trading down 6.0% at 7.99 pence on Friday.
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