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Thursday, 01/22/2015 10:08:34 AM

Thursday, January 22, 2015 10:08:34 AM

Post# of 7210
Tullow Press Release received as an email

The news includes both good
"the well encountered oil and wet gas shows over a 100 metre interval"

and not so good

"of non-reservoir quality rocks"
"the well will be plugged and abandoned"

Lets see how the market sees it.



Tullow Oil plc (Tullow) provides an update on a series of exploration and appraisal
activities in onshore Kenya Blocks 10BB, 13T and 10BA.

Epir-1 exploration result

The Epir-1 exploration well is located in block 10BB in the North Kerio Basin, a separate
sub-basin from that tested by the Kodos-1 well, 25 km to the southwest. Whilst not a
discovery, the well encountered oil and wet gas shows over a 100 metre interval of
non-reservoir quality rocks, demonstrating a working petroleum system in this lacustrine
sub-basin. Further exploration activities will be considered in the North Kerio Basin
following analysis and integration of the valuable data collected from the well.

The Weatherford 804 rig drilled the Epir-1 well to a final depth of 3,057 metres. The
well will be plugged and abandoned, following which the rig will move to the Ekales-2
location in the South Lokichar Basin where it will conduct appraisal of the discovery
made by the Ekales-1 well. The well will target reservoirs in a separate fault block to
the east of the discovery well, further away from the basin bounding fault.

Engomo-1 exploration well commenced drilling

The new SMP-106 rig has commenced drilling the Engomo-1 well, the first test of the
prospective North Turkana Basin in Kenya Block 10BA. This onshore prospect is to the west
of Lake Turkana where numerous naturally occurring oil slicks and seeps have been
observed. A result is expected during early March 2015.

Ngamia and Amosing appraisal wells

The PR Marriott 46 rig recently completed drilling the Ngamia-5, Ngamia-6 and Amosing-3
appraisal wells. Both Ngamia wells were drilled from the Ngamia-1 discovery well pad.
Ngamia-5 was drilled to a final depth of 2,317 metres and was deviated approximately 500
metres northeast of Ngamia-1, encountering between 160 to 200 metres of net oil pay.
Ngamia-6 was drilled to a final depth of 2,480 metres and was deviated approximately 800
metres north of Ngamia-1, encountering up to 135 metres of net oil pay. Both wells have
been suspended and remain available for use in an Extended Well Test programme that will
commence in the second quarter 2015.

The Amosing-3 well in Block 10BB continued the successful appraisal of the Amosing oil
field. The well was drilled approximately 1 km northwest of the Amosing-1 discovery well
and successfully encountered over 107 metres of net oil pay in good quality reservoir
sands. The well reached a final depth of 2,403 metres and has been suspended for use in
future appraisal and development activities. The PR Marriott 46 rig will now be moved to
continue the appraisal of the Ngamia field, drilling the Ngamia-7 well to test the
field’s eastern flank.

South Lokichar Basin 3D seismic

Acquisition of the large 951 sq km 3D seismic survey has completed over the series of
significant oil discoveries in the western basin bounding fault play of the South
Lokichar Basin. The fast-track processed data is already being used in the south of the
basin whilst the remainder of the survey will be available for seismic interpretation by
the end of the first quarter 2015. Initial evaluation of the 3D seismic data indicates
significantly improved structural and stratigraphic definition and additional
prospectivity not evident on the previous 2D seismic data. In addition, the partnership
has acquired over 1,100 metres of core samples from the South Lokichar Basin wells and an
extensive programme of detailed core analysis is ongoing that will provide results from
the first quarter 2015 onwards, to measure oil saturation and assess recovery factors of
the reservoir sands.

Tullow Operates Blocks 10BB, 13T and 10BA with 50% equity and is partnered by Africa Oil Corporation, also with 50%.

COMMENTING TODAY, ANGUS MCCOSS, EXPLORATION DIRECTOR, SAID:

“The Epir-1 wildcat well proved the existence of a working oil system in the North
Kerio Basin, encouraging us to consider further exploration activities. The Ekales-2
exploratory appraisal well is a bold step-out away from the South Lokichar Basin bounding
fault with follow up potential. Continued success in the appraisal of the Ngamia and
Amosing oil fields is highly encouraging as we continue with development studies for the
South Lokichar Basin.”