Solo Oil provides update on Tanzanian assets

23rd Aug 2018 10:03

(Sharecast News) - Natural resources investor Solo Oil provided investors with an update on the operational progress seen at its Tanzanian assets on Thursday.Solo Oil, which holds a 25% beneficial interest in the Ruvuma well and a 7.55% interest in the Kiliwani North-1 site, told investors on Wednesday that Aminex, the operator of both projects, had been driving forward operations over its key assets.At Ruvuma, the tendering process for a rig to drill Chikumbi-1 was now complete, with the company having already received numerous bids, which were set to be evaluated on their "technical and commercial merits".Solo expects the well to delineate the Ntorya gas field in a "significantly thicker section" of the Cretaceous reservoir system and is also being planned to evaluate a potential deeper exploration target in the Jurassic formation.If successful, CH-1 is expected to be produced into the existing Madimba Gas Processing Plant and ultimately integrated into a full field development programme.Meanwhile, pressure at the Kiliwani North-1 well has sufficiently built up and both Solo and Aminex were looking to stimulate the reservoir as soon as possible.Alastair Ferguson, Solo's chairman, said, "We are pleased to see operational progress being made by Aminex in operations in Tanzania. The rig tendering process is an important step towards the planning and execution of Chikumbi-1, a well designed to further unlock the potential resources in the Ruvuma PSA."As of 1000 BST, Solo Oil shares had picked up 2.22% to 2.30p.