Continental Focus, International Reach

Anglo African Awarded New License Over Tilapia

Thursday, March 8, 2018

Anglo African Oil & Gas saw the government of the Republic of Congo (ROC) award it a new 20-year license. The Congolese state oil company, SNPC, proposed and unconditionally recommended the award of a new license covering the Tilapia oil field. The company has a 56% interest in Tilapia, with SNPC currently holding the other 44%.

The 50 sq-km Tilapia license area is located in the prolific Lower Congo Basin and lies adjacent to one billion-barrel fields producing from multiple pay zones.

Under the terms of the new license, the company’s wholly-owned subsidiary, Petro Kouilou (PK), will continue to hold a 56% interest in and operatorship of Tilapia.  It is not proposed that a signing bonus be paid, but the company has committed to drilling TLP-103, a new multi-horizon well targeting two million-barrels of proven reserves in the R1/R2 producing reservoirs; an 8.1-million-barrel gross contingent resource discovery in the Mengo interval; and a deeper prospect, which has been assigned 58.4 million-barrels of gross unrisked prospective resources in the Djeno Sands.

Following the recommendation by SNPC that a new license be awarded, the company has entered into an agreement with Société de Maintenance Pétrolière (SMP) for the supply of Rig-102 to drill the TLP-103. Allowing for transportation into the Congo and recommissioning, drilling operations will commence on or around June 15. Drilling is expected to take 64 days.

The Tilapia site has now been extensively renovated in preparation for drilling operations and the anticipated significant increase in production. The scope of works includes resurfacing relevant parts of the drill site, installation of a storage hangar, complete refurbishment of the storage tank and a safety equipment upgrade.

The company is entering into a significant turnkey contract with Schlumberger to carry out a an intervention on the TLP-102 completion using coiled-tubing with a  jetting tool attached with the intention of removing any obstructions or clogging to the perforations. This work will occur during April and May 2018 with a view to then bringing TLP-102 into production. This could result in materially increased production. The company will provide an update on the results of this work once completed.

PK is due to start the dismantling and cleaning of flow lines on TLP-101 during the week commencing March 5. Once completed, there will be a series of tests and adjustments to ensure that the well is producing at maximum levels.