Tigrai Online April 09, 2013
SouthWest Energy announces Senergy Competent Persons Report results for Prospective Resources in Gambella and Jijiga Basins, Ethiopia – Best Estimates of 1.56 Billion and High of 2.9 Billion Net Undiscovered Play Assessed Prospective Resources.
SouthWest Energy (HK) Ltd is pleased to announce the results of the Competent Persons Report (CPR) prepared by independent consultant Senergy (GB) Limited (Senergy) for the company’s Gambella basin block(s) (extension of the high producing Melut basin in South Sudan) and blocks 9A, 9 and 13 in the Jijiga basin (subset of Ogaden basin in Ethiopia).
The Chairman and CEO of SouthWest Energy, Mr. Tewodros Ashenafi commented: “I am very pleased to announce the result of the CPR by Senergy, which I consider a significant step forward for our company and a strong validation of our work to date.
“The report confirms what we have always believed; our blocks have strong oil potential. Our work now turns to the next phase of exploration, to further refine the seismic data set and look towards our well programme, which we hope to commence later this year.”
The release of the CPR report was welcomed by, Mrs. Sinkinesh Ejigu, Minister of Mines for the Federal Democratic Republic of Ethiopia.
“I am pleased to note the release of this important report from Ethiopian oil and gas exploration company SouthWest Energy. I congratulate the company and wish it every success in this important next step in the quest to find onshore oil in our country.”
Overview of CPR
The CPR concluded the potential of the Gambella and Jijiga basins have best estimate Prospective Resources of 1.56 billion barrels and a high of 2.9 Billion Net Undiscovered Play Assessed Prospective Resources. This estimate is based on 16 potential traps within SWE’s approximately 29,000km2 in blocks 9A, 9 and 13 (out of the wider Basin’s total acreage of 367,000km2 ) and 8 traps within the 17,000km2 in the Gambella Basin. Senergy has determined SWE’s blocks to be frontier but potentially high reward oil exploration acreage.
The CPR notes that drilling and exploration activity is increasing in the East Africa region. The work done and data collected so far in the Jijiga Basin have given a strong indication of a working petroleum system. The Gambella basin on the other hand is an extension of the producing Cretaceous Melut basin of South Sudan. The play here is clastic sediments sourced from lacustrine shales. SWE plans to drill three initial exploration wells in the Jijiga basin during the course of 2013 and 2014.