Best AIM Company 2016

RNS Number : 8914Z
Sound Energy PLC
20 December 2017
 

20 December 2017

 

Sound Energy PLC

("Sound Energy" or the "Company")

 

Tendrara Volume Certification - Preliminary TE-5 Horst Results

 

Sound Energy, the African and European focused upstream gas company, is pleased to announce receipt of the preliminary results of the resources certification in relation to the TE-5 horst core volumes at the Company's Tendrara asset, onshore Morocco ("Certification").

 

The Certification, which will include a full technical review of the Tendrara project, is being conducted by RPS Energy Consultants Ltd ("RPS"). The Certification, which utilises the latest SPE Petroleum Resources Management System ("PRMS") approved definitions of Reserves and Resources, is a very important step towards concession application and a Final Investment Decision.

 

The preliminary results of the Certification (final results on the Tendrara area are expected to be available in early January 2017) provide volumetric estimates for the TAGI-1 and TAGI-2 reservoir units in the TE-5 Horst.

 

On 23 May 2017, the Company announced an internal preliminary mid case gross Gas Originally in Place ("GOIP") estimate for the TE-5 horst of 0.63 Tcf. 

 

Sound Energy is delighted to report that the preliminary results of the Certification validate this previous mid case GOIP (gross) estimate.   

 

Preliminary results of the RPS certification:

 

·      A mid case GOIP for the TE-5 horst alone of 0.65 Tcf

·      A 2C (mid case) recoverable, contingent resource for the TE-5 horst of 377 Bcf

 

The results of the Certification will be utilized for development planning and to advance development funding solutions, already under discussion.

 

The Certification was undertaken on an area of 250km2, which equates to around 1% of the total Eastern Morocco permit area of approximately 23,500km2. Planning for the Exploration drilling programme, announced on the 4 October 2017, continues in parallel with the development activity.  This programme is an important step in unlocking the Company's previously estimated unrisked GOIP potential across all the Eastern Moroccan acreage, of 17 Tcf mid case (31 Tcf upside case and 9 Tcf low case), as announced on the 1 February 2017.

 

The table below summarise the preliminary results of the Certification and present the discovered in-place plus Contingent Resources evaluated by RPS for the Tendrara TE-5 horst.

 

Discovered in-place volumes and contingent resources 

 

Segment name

Discovered Gas Originally In Place (Bcf)

Contingent Resources (Bcf)¹

Gross (100%) basis

Gross (100%) basis

Low

Mid

High

1C

2C

3C

TE-5 Horst
(TAGI 1 and 2)

349

651

873

197

377

533

                ¹ Contingent Resources are technical volumes i.e.no economic limit test applied

 

This announcement is inside information for the purposes of Article 7 of Regulation 596/2014.

 

 

For further information please contact:

 


Vigo Communications - PR Adviser

Patrick d'Ancona Chris McMahon Alexandra Roper


Tel: +44 (0)20 7830 9700


 


Sound Energy

James Parsons, Chief Executive Officer


j.parsons@soundenergyplc.com


 


Smith & Williamson - Nominated Adviser

 

Azhic Basirov David Jones Ben Jeynes


Tel: +44 (0)20 7131 4000


 


RBC Capital Markets - Broker

Matthew Coakes Martin Copeland Laura White


Tel: +44 (0)20 7653 4000


 

The information contained in this announcement has been reviewed by Sound Energy's Exploration Director, Brian Mitchener, a chartered petroleum geologist.  Bcf means billion standard cubic feet of gas; Tcf means trillion cubic feet of gas; and best case, high case and low case estimates are consistent with SPE (The Society of Petroleum Engineers) PRMS guidelines.

 

RPS Group PLC (http://www.rpsgroup.com/) are a global consultancy providing a range of services, including geological, geophysical and petroleum engineering services to the oil and gas industry. The inplace and contingent resource estimates within this note have been provided by RPS Group PLC.

 

Resources are all quantities of petroleum (recoverable and unrecoverable) naturally occurring on or within the Earth's crust, discovered and undiscovered, plus those quantities already produced. Contingent resources are those quantities of petroleum estimated, as at a given date, to be potentially recoverable from known accumulations but where the applicable project(s) are not yet considered mature enough for commercial development due to one or more contingencies.

 


This information is provided by RNS
The company news service from the London Stock Exchange
 
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