Oil & Gas Corporate News
Cove Energy (LON:COV) (COV, 66.75p, ? 7.61%) reported results from the Camarão well in the Rovuma Basin Area 1 block, Offshore Mozambique. Over 380 net ft of natural gas pay were confirmed in both exploration and appraisal targets. The appraisal objective, in Oligocene fan systems, encountered approximately 240 net ft of natural gas pay in an excellent-quality reservoir sands. The exploration section of the well encountered a 140 net ft of natural gas pay in shallower Miocene and Oligocene sand packages not encountered in previous wells. The partnership of Cove and Anadarko are mobilising a second deepwater drillship to Area 1 Rovuma Offshore to accelerate the drilling campaign, which includes an extensive reservoir testing program and up to seven exploration/appraisal wells over the next 12 months.
Heritage Oil (LON:HOIL) (HOLD, £4.20) (HOIL, 217.7p, ? 2.94%) announced it has successfully completed testing of the Upper Cretaceous reservoir in the Miran West-3 well, after drilling to a depth of 876m. During testing the maximum measured rate achieved from this reservoir section was 1,950 bopd. Attempts to flow the well at higher rates were severely restricted by the capacity of the surface test equipment. The oil produced on test is estimated to be 15 degree API with very little associated gas, similar to that tested from the same interval in the Miran West-1 discovery well. Based on management's interpretation of these results, it has been confirmed that future development wells in this reservoir section should be able to achieve 8,000-10,000 bopd per well on production. Drilling operations are continuing on prognosis to test the deeper reservoirs discovered by previous drilling.
Premier Oil (LON:PMO) (PMO, 338.7p, ? 1.54%) announced the recommended acquisition of EnCore for cash with a share alternative for a consideration of £221 million. The board of EnCore are recommending the terms of the transaction. The recommended acquisition is at 70 pence per EnCore Share in cash. The Acquisition Price represents a premium of approximately 55% to the Closing Price of 45.25 pence for each EnCore Share on 4 October 2011.The Acquisition would increase Premier's interest in UK Licence PL1430 (the Catcher area), including the Catcher field, one of the largest discoveries in the UK North Sea in recent years, by 15% taking Premier's overall interest to 50%,…
