Continental Focus, International Reach

Tower Preps for NJOM-3 Well, Secures New Rig

Thursday, September 5, 2019

Tower Resources revealed in a recent statement that it will need to perform more site-preparation work on the NJOM-3 well site in Cameroon prior to the rig being moved to the location. The company bases this on additional data received on the original wells drilled by Tota, the Njom1 and NJOM2.

The company said that the ost suitable vessel to undertake this site preparation work is now en route to West Africa with the expectation that this work can be completed during September 2019.

Tower had previously agreed with Vantage to defer the commencement of its drilling contract in respect of the Topaz Driller until after Vantage’s current charter to another oil company was completed. However, in the past few weeks a former sister rig to the Topaz Driller, the COSL Seeker, has become available in Cameroon after completing recent work for Addax. Given the difficulty in matching up the schedule of the Topaz Driller with availability of the site survey data, Tower signed a LOI to use the COSL Seeker rig to drill NJOM-3 instead of the Topaz Driller and has released this drilling rig.

The day rate and other terms of the COSL agreement are similar to the Vantage agreement, and while there may be some additional costs for the mobilization of test equipment to the COSL Seeker on the current schedule, it also anticipates significant savings in the cost of rig mobilization and demobilization. In the aggregate, Tower does not presently anticipate a material change in the total cost of the well as a result of this change of rig