9th May 2007 07:02
Leni Gas & Oil PLC09 May 2007 For Immediate Release 9 May 2007 LENI GAS & OIL PLC (the "Company" or "Leni Gas & Oil") Farmin Agreement approved by Malta Government and Commencement of Seismic Programme Leni Gas & Oil, an oil and gas exploration and development company, announcesthat the farmin agreement with Malta Oil Pty Limited in relation to Area 4 inthe Mediterranean Sea between Libya and Malta has been approved by the Malteseauthorities and is therefore unconditional. The seismic work is also due to commence around the 20 May 2007, with awardingfor the acquisition of approximately 1,000 line kilometres of 2D seismic in Area4 off-shore Malta with the seismic surveying vessel, MV Geomariner of SeabirdExploration; one of the largest providers of 2D seismic services for theoffshore oil and gas industry. Under the terms of the agreement with Malta Oil Pty Limited, Leni Gas and Oilreceives an entitlement to a full 20% interest in Area 4 and in the event that aProduction Sharing Contract is granted pursuant to provisions of the MalteseExploration Study Agreement, Leni Gas and Oil will have the right to furthersole fund, 80% of the first exploration well cost to increase its participatingInterest in Area 4 to 50% and MOL will maintain a participating Interest of 50%by funding 20% of the exploration well costs. The parent Company of the Malta Oil Pty Limited, Mediterranean Oil & Gas PLCannounced today the following: MEDITERRANEAN OIL & GAS PLC (the "Company" or "MOG") Agrees the commencement of seismic surveying with Seabird Exploration The Board of Mediterranean Oil & Gas Plc (AIM: MOG) is pleased to announce todaya further update to the Company's operations under its Exploration StudyAgreement ("ESA") over blocks 4,5, 6 and 7 of Area 4, offshore Malta. The Company has executed a letter of award for the acquisition of approximately1,000 line kilometres of 2D seismic in Area 4 off-shore Malta with the seismicsurveying vessel, MV Geomariner of Seabird Exploration; one of the largestproviders of 2D seismic services for the offshore oil and gas industry. The MV Geomariner is expected to arrive in Malta on the 20th May, 2007. This initial campaign will be primarily directed towards increasing theunderstanding of the some of the large prospects in the area covered by the ESA.The previously identified prospects at Hagar Qim, Skorba and Tarxien togetherwith the newly identified prospects, particularly Luzzu, provide best estimateprospective resources of 1.5BBstb and best estimate STOIIP of 5.7BBstb. Highestimate STOIIP exceeds 14.0BBstb on the permit. The offshore area south of Malta is an under-explored petroleum province relatedto an extension of the offshore Libyan and Tunisian proven hydrocarbonprovinces. The Maltese authority has approved the recently announced farmout agreement withLeni Gas & Oil PLC (AIM: LGO) which is now unconditional. QUALIFIED PERSON Giovanni Catalano (a director of the Company) holds a masters degree in geologyand has had over twenty-five years in the upstream oil and gas industry with thelast position held in Woodside Energy Pty Ltd, Perth, Western Australia asBusiness Development Manager - Far East. Prior to Woodside (where he was forseven years), Mr Catalano was with AGIP for nine years and LASMO Internationalfor eleven years. He is a former Director of Woodside Energy UK and AGIPMauritania BV companies and former Chairman of Woodside Energias SA in Spain. Hehas compiled, read and approved the technical disclosure in this regulatoryannouncement. The technical disclosure in this announcement complies with theSPE/WPC standard. GlossaryStb/BBstb Stock tank barrels /Billion stock tank barrelsSPE/WPC Society of Petroleum Engineers/World Petroleum CongressSTOIIP Stock tank oil initially in place Enquiries: Leni Gas & Oil PlcDavid Lenigas Tel: +44 (0)20 7016 5100Jeremy Edelman Tel: +44 (0)20 7016 5100Beaumont CornishRoland Cornish Tel: +44 (0)20 7628 3396Rosalind Hill Abrahams Tel: +44 (0)20 7628 3396Pelham PRCharles Vivian Tel: +44 (0)20 7743 6672Evgeniy Chuikov Tel: +44 (0)20 3008 5506 NOTE: Leni Gas & Oil accepts no responsibility for the accuracy of the MediterraneanOil and Gas statement. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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