15th May 2014 09:36
LONDON (Alliance News) - Ophir Energy PLC attempted to reassure investors Thursday, arguing there is significant upside potential in the remaining wells it is targeting this year after recent exploration disappointments.
The FTSE 250-listed oil and gas exploration company said in an update that it still expects to drill up to a further ten wells before year end and sees "significant potential upside in the remaining wells and in the plays being targeted."
The news comes after the company's Padouck Deep-1 well in Gabon and Mlinzi Mbali-1 well in Tanzania both failed to find commercial levels of oil, though both were considered high-risk plays before drilling began.
The company added that it still sees opportunities in the pre-salt play offshore Gabon and drilling is underway on the Affange Deep-1 well in the region, with results expected later this month.
Ophir said the Taachui-1 well, another well currently being drilled offshore Tanzania, is part of a larger range of tests planned for Tanzania in 2014.
The company also noted that it also anticipates further progress on its two liquefied natural gas projects in Equatorial Guinea and Tanzania through 2014.
Ophir Energy shares were down 0.8% to 260.80 pence on Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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