3rd Jun 2016 11:03
LONDON (Alliance News) - Eland Oil & Gas PLC Friday said it denies recent press speculation regarding "continued security incidents" in the Niger Delta where it operates.
Eland Oil shares were trading down 13% to 27.33 pence per share on Friday morning.
The company's core asset is the OML40 licence in the Northwest Niger Delta which it participates in through a joint venture. The asset was producing around 4,400 barrels of oil a day gross at the end of 2015 from two wells, and Eland also has an interest in the onshore Ubima field that also lies within the Niger Delta.
A string of news stories emerged on Friday concerning security issues within the Niger Delta.
Reuters reported new attacks had been launched by militants in the region who were trying to "bring Nigeria's struggling oil industry to a halt," claiming six people had been killed after a boat owned by the state-owned oil company was ambushed. Reuters also said two crude pipelines owned by ENI had been attacked.
The militant group, according to Reuters, is called Niger Delta Avengers, and the group has also claimed to have blown up the Royal Dutch Shell PLC-owned Forcados oil pipeline, which was under repair after an attack in February, Reuters said.
http://www.reuters.com/article/us-nigeria-security-idUSKCN0YO0OB
"The company notes recent unsubstantiated press speculation regarding continued security incidents in the Niger Delta. The company confirms that it is not aware of any incidents on its properties and confirms that the company's continuing maintenance and operational activity remains unaffected," said Eland on Friday.
By Joshua Warner; [email protected]; @JoshAlliance
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