Oil and Gas Corporate News
Leni Gas (LON:LGO) & Oil (LGO, 2.58p, ? 3.00%) announced an agreement to farm-in to the Advance Oil Company Limited North Moruga area leases. LGO plans to work-over existing producing wells and drill up to nine new wells on the leases.The Heads of Agreement with Advance sets out the framework for a full farm-in agreement and joint operating agreement by which LGO will take over operatorship of the Advance leases, reactivate production from the existing wells on the leases, drill a minimum of three exploration and up to six development wells, obtain an immediate 33% interest in net production revenues, and on conclusion of the farm-in work programme, and depending on the number of wells drilled, earn between 33% and 49% interest in the Advance leases. A signature bonus of TT$250,000 (US$39,000) has been paid to Advance and gives LGO exclusivity to conclude the definitive agreements and assignment of interests envisaged under the Heads of Agreement.
Dominion Petroleum (LON:DPL) (DPL, 3.44p, ? 1.32%) announced the subscription by BlueGold Global Fund L.P. for 150,134,241 common shares in the capital of the Company, at a price of 3.5 pence per share, for an aggregate consideration of £5,254,698.44.
Sound Oil (LON:SOU) (SOU, 3.20p, ? 7.56%) provided an operational update. For the Marciano-1 ST well (Sound 100%) in Italy the Company has received a reservoir engineering report undertaken by AGR which has analysed pressure data from the test of the upper zone at Marciano (1283-1288m) in respect of reserve estimates and reservoir parameters. Unfortunately the initial gas in place in the tested reservoir interval is estimated to be insufficient for commercial production. Therefore present operations at the site will cease pending a future review of the permit. An application to commence the site construction for the Casa Tiberi-1 exploration well (Montemarciano Permit, Sound Oil farm-in 75%) was submitted to the Ministry of Economic Development on 20 July. Civil works are expected to start before 24 August this year with the intention to spud the well no later than 90 days from the start of site preparation. The interpretation of the 3D seismic data from Badile Permit (Sound Oil 100%) is underway and preliminary results are expected by the end of July. In Indonesia (Citarum PSC, Sound Oil 20%) the Operator of…
