Bowleven ready to start drilling

29th Mar 2010 07:22

Cameroon-focused oil explorer Bowleven has its first two wells prepared and ready to drill as part of an extensive exploration of its acreage over the next 12-18 months.Resources on a gross and net basis were unchanged at approximately 217 mmboe at the end of the 2009, though this will fall to 165mmboe once a deal to farm -out some of the Etinde prospect (in Cameroon) to Netherlands-Swiss based oil group Vitol is completed. Bowleven's remaining net interest in Etinde will be 75% (previously 100%).The aim of the drilling programme is to transfer 100 mmboe (gross) from resources to reserves, it added. "Our first two wells are drill ready and the rig, now contracted, is in Cameroon awaiting mobilisation. The next 12-18 months are key to the evolution of the company as we endeavour to convert resources to reserves and explore the significant further exploration potential on our acreage," chief executive Kenin Hart said. Bowleven posted a profit of $1m for the six months to December (H1 2008: $82.7m). Cash at the half-year totalled approximately $110m with no debt. Bowleven added that with existing cash balances and access to a further $100m gross work programme carry on Etinde from Vitol, it is more than fully funded for its 2010 programme across its entire asset portfolio"With a rig contracted, and strong working relationships being established with Vitol, we are now ready to bring the long months of technical evaluation and operational planning to fruition," Hart added.