16 December 2015
Sound Energy plc
("Sound Energy" or the "Company")
Tendrara: Completion of Farm In and Operations Update
Sound Energy, the European / Mediterranean focused upstream oil and gas company, is pleased to announce that the Company's farm in agreement with the Moroccan Oil and Gas Investment Fund (the "Farm In") in relation to the Tendrara Lakbir Licence, onshore Morocco (the "Tendrara Licence") has now been completed - with Ministerial approval, the final condition to the Farm In, now received. The terms of the Farm In were announced by Sound Energy on 8 June 2015.
The Company is also pleased to announce the agreement of commercial terms with Entrepose Drilling Morocco for the supply of a HH300 rig and the initiation of the procurement process for long lead items for the drilling of the first two appraisal wells on the Tendrara Licence.
The Company intends to commence ground works on the drill site for the first Tendrara well shortly after receipt of EIA approval - which the Company expects to receive in January 2016.
The Company announced that it had signed a term sheet with Schlumberger Production Management ("Schlumberger") in relation to the Tendrara Licence on 21 October 2015. The Company continues to work with Schlumberger in developing the strategic collaboration between Sound Energy and Schlumberger and the Company looks forward to updating shareholders, as appropriate, in due course.
James Parsons, Sound Energy's Chief Executive Officer, commented:
"I am pleased to report the initiation of our drill programme at Tendrara, with two back to back wells with an extended well test which, if successful, will prove the commerciality of the highly significant TAGI reservoir in Morocco.
We believe Eastern Morocco is an exciting and developing area which is further validated by the recently acquired International Oil Company interest in the surrounding licences."
For further information please contact:
Vigo Communications - PR Adviser
Tel: 44 (0)20 7016 9573
James Parsons, Chief Executive Officer
Smith & Williamson - Nominated Adviser
Tel: 44 (0)20 7131 4000
Cantor Fitzgerald Europe - Broker
Tel: 44 (0)20 7894 8896