FOR
IMMEDIATE RELEASE
17 September 2024
Predator Oil & Gas Holdings Plc / Index: LSE / Epic: PRD /
Sector: Oil & Gas
Predator Oil & Gas
Holdings Plc
("Predator" or the "Company"
and together with its subsidiaries "the Group")
Corporate
Update
Highlights:
·
MOU-3 rigless testing programme being
extended
·
Zenith Energy Limited (Aberdeen) appointed to
provide additional well engineering support as operations
expand
·
MOU-5 helium study completed - potential resources
estimates this month
·
Acquisition of additional 16.2% equity for
zero cash consideration in Cory Moruga approved
·
Memorandum of Understanding executed for
application of patented Saudi Arabian chemical wax treatment in
Trinidad
Predator Oil & Gas Holdings Plc
(PRD), the Jersey-based Oil and Gas Company with near-term hydrocarbon operations focussed on
Morocco and Trinidad announces a corporate
update.
Morocco
MOU-3 Sandjet rigless testing programme
update
The rigless testing programme is
being extended based on an initial analysis of the 2024 rigless
testing data that is currently being carried out by Dr. John Tingas
Petroleum and Chemical Engineer. Dr. Tingas has worked with the
Company's CEO on reservoir engineering projects offshore Ireland
following the successful testing of gas at commercial rates in 2006
and 2007; on the reservoir engineering for the Tendrara field
onshore Morocco in 2013, following which an appraisal well flowed
at a high rate; and on the Company's Inniss-Trinity CO2 EOR project
in Trinidad, where enhanced oil production was achieved.
The Company is fully funded to
undertake all additional operations that may be considered
necessary to support reservoir flow assurance for the purposes of
planning a potential development option.
Appointment of Zenith Energy Limited (Aberdeen) for well
engineering support
Zenith Energy Limited (Aberdeen),
with their larger pool of worldwide resources to call upon in the
areas of well engineering, project management, completion and well
testing and well operator services, have been appointed to provide
well engineering support for Morocco initially and potentially
other geographic areas if and when required.
MOU-5 well and potential for helium
The geological model for the helium
potential of the 187 km2 MOU-5 structure has been completed by
Scorpiongeoscience. Potential helium resources estimates will be
published this month.
Drilling of the high impact MOU-5
well will evaluate potential both for helium and a gas-to-power
project adjacent to the Maghreb Gas Pipeline. MOU-5 is a
conventional well that does not require the same specialist Rharb
Basin drilling experience and expertise that was necessary to
successfully complete the 2021 and 2023 drilling
programmes.
Trinidad
Memorandum of Understanding for patented Saudi Arabian
chemical wax treatment
The Company has executed a
Memorandum of Understanding with a local company to apply a
patented wax treatment originating in Saudi Arabia to the Jacobin-1
oil reservoirs.
Jacobin-1 well workover
An oil sample has been collected
from Jacobin-1 well and sent to an in-country laboratory to carry
out a wax analysis.
On sampling the oil in Jacobin-1
reservoir pressure was also found to have increased to over 1600
psi over time from when two of five potential oil zones
were perforated but not produced by the previous operator.
Reservoir pressure is encouragingly now similar to that of the
original pressure of the adjoining Moruga West Field prior to its
development.
Adjacent wells in the Moruga West
oil field have initially flowed 60 bopd from just one of the above
five reservoir intervals penetrated by Jacobin-1.
The proposed chemical treatment for
Jacobin-1 will simultaneously apply heat and release nitrogen in
the oil reservoirs to potentially provide a sustainable increase in
oil flow into the well bore.
In the Saudi Arabian examples the
chemical wax treatment has shown to increase oil flow rates by up
to threefold.
A successful wax treatment of
Jacobin-1, followed by Snowcap-1, may have a significant
implication for potentially increasing cash flow from low-cost well
workovers, particularly as the Company has US$ 55 million of
inherited tax losses in Trinidad to offset against Petroleum Profit
Tax. Falls in oil price below WTI US$70 per barrel are offset by
the disapplication of 18% Supplementary Petroleum Profit Tax below
this spot price.
Increase in equity in Cory Moruga Licence
approved
The Company has received the
Ministry of Energy and Energy Industries consent for the
acquisition of the remaining 16.2% interest in the Cory Moruga
Licence for a zero cash consideration.
Paul Griffiths, Chief Executive Officer of Predator,
commented:
"The Company's operations are progressing smoothly.
Maintaining fiscal discipline allows us not only to be fully
funded for all our firm commitments for the next 12 months
but also provides us with discretionary cash flexibility to
strengthen elements of our work programmes, if necessary, to apply
different technologies to potentially enhance reservoir performance
and de-risk flow assurance of oil and gas.
The Company's foundations are based on three pillars: fiscal
discipline; project diversity and flexibility from exploration
through appraisal to development and production; and the ability to
add near-term producing assets for minimal or zero cash
consideration.
The flexibility for drilling the giant "World Class" MOU-5
structure with the added potential of realising a helium play is an
exciting near term prospect."
For further information visit
www.predatoroilandgas.com
Follow the Company on X
@PredatorOilGas.
This announcement contains inside information for the purposes
of Article 7 of the Regulation (EU) No 596/2014 on market
abuse.
For more information please visit
the Company's website at www.predatoroilandgas.com:
Enquiries:
Notes to Editors:
Predator is an oil & gas company
with a diversified portfolio of scalable assets including unique
and highly prospective onshore Moroccan gas exposure, with multiple
fully financed upcoming catalysts.
Predator has two high quality,
scalable gas projects in Morocco with fast pace of
commercialisation and blue sky potential. Guercif is a shallow CNG
biogenic gas development with multiple traps and at least 4
separate reservoirs with recently drilled wells due to be flow
tested. The Giant Jurassic Titanosaurus is a shallow thermogenic
gas prospect evaluating 249m of potential gross reservoir thickness
in a trap of 187 km2 for pipeline gas to power, with pipeline
2.5km from wellhead. Moroccan gas prices are high, and
the fiscal terms are some of the best in the world. Predator
also has a diversified portfolio of assets across Ireland and
Trinidad, which is a near-term revenue-generating
project.
Predator has an experienced
management team and consultants with particular knowledge in
Moroccan sub surface and operations. The team specialises in
incorporating modern, proven technologies and processes from Canada
and the US to provinces where the conventional technologies did not
allow their hydrocarbon potential to be revealed.
Predator Oil & Gas Holdings plc
is listed on London Stock Exchange's Main Market with a Standard
Listing (symbol: PRD). For further information, visit
www.predatoroilandgas.com
