Welcome!

News Feed Item

Africa Oil Operational Update and Conference Call

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 08/28/14 -- Africa Oil Corp. ("Africa Oil" or the "Company") (TSX:AOI)(OMX:AOI) is pleased to provide an update on its operations in Kenya and Ethiopia.

The Etom-1 well in the Lokichar Basin on Block 13T (Kenya) has reached a total depth of 2000 meters and has discovered oil in the primary Auwerwer and Upper Lokhone target formations. The well encountered a range of between 5 and 20 meters of potential net pay sands based on wireline logging and drilling data. Oil has been recovered in MDT sample chambers which appears to be of similar quality to the oil found in the discoveries to the south. There is an additional 400 meters of porous sands in the Auwerwer and Lokhone Formations which also confirms the extension of thick reservoir sections into the northern portion of the basin. Oil and gas shows were noted throughout during drilling of the well confirming the extension of the petroleum system to the northern portion of the basin. Based on these positive drilling results, the partnership has agreed to extend the current 3D seismic survey over the northern portion of the basin where several additional large prospects have been identified by 2D seismic. The well has been suspended for potential future drill stem testing. Africa Oil holds a 50% working interest in this block, which is operated by Tullow Oil plc ("Tullow") which holds the remaining 50% interest.

Drilling on the Ngamia-3 and Amosing 2/2A appraisal wells also in the Lokichar Basin on Block 10BB (Kenya) has also been completed. The results of these wells appear to confirm the thickness and lateral extent of the Auwerwer sands at both locations and also has extended the known oil column significantly downdip which will extend the proven field areas. The range of thickness of Auwerwer reservoir quality sands in all six penetrations of these two structures is between 146 and 220 meters and the sands appear consistent over the field areas. Net pay was encountered over multiple reservoir zones over a gross interval ranging from 500 to 1500 meters. Pressure data seems to indicate that there could be pressure communication between many of these reservoirs. The upcoming extended well test programs on both of these fields will be designed to evaluate reservoir connectivity and help constrain estimates of flow rates and recovery factors for field development planning which are expected to commence early in 2015. Africa Oil holds a 50% working interest in this block, which is operated by Tullow which holds the remaining 50% interest.

Well testing has been completed on the previously announced Ewoi discovery on the eastern flank of the Lokichar Basin in Block 10BB (Kenya). The main zone of interest tested approximately 50 barrels of oil per day from the lower Lokhone sands which were relatively thin and of moderate reservoir quality. Data from the well may suggest that the wellbore may have been located in a downdip position and the Company is considering updip appraisal opportunities on this structure. The lightweight rig is currently testing the Twiga-2A appraisal well where two to three tests are planned.

The Company plans to move the two rigs that are completing drilling operations on the Etom and Amosing locations to the Kodos and Ekosowan locations and both are expected to spud in September. The Kodos well is the first well to be drilled in the highly prospective Central Kerio basin in Kenya Block 10BB and will target a three way dip closed feature against the main basin bounding fault similar to the Ngamia/Amosing/Twiga trend in the Lokichar Basin. The Ekosowan well is located on the western 'string of pearl' prospects in the Lokichar basin and is directly south of the Ngamia and Amosing fields which have demonstrated the thickest net pay and reservoir in the basin. Both wells are expected to be completed in the fourth quarter. Two additional new basin opening wells are planned to spud before the end of the year in the North Kerio Basin (Epir-1) and the North Turkana Basin in Block 10 BA (Engomo-1).

The Company has also spud an appraisal well on the previously announced Sala gas discovery in Block 9 onshore Kenya. The Sala-1 drilled a large 80 square kilometer anticlinal feature along the northern basin bounding fault in the Cretaceous Anza graben and encountered several sandstone intervals which had oil and gas shows. An upper gas bearing interval tested dry gas at a maximum rate of 6 mmcf/d from a 25 meter net pay interval. The Sala-2 appraisal well is designed to test the updip extent of this main reservoir sand. A lower interval at Sala-1 also tested gas at low rates of dry gas from a 50m potential net pay interval and will also be accessed at this up-dip location. Africa Oil is the Operator of Block 9 with a 50% working interest. Marathon Oil Kenya Limited B.V. has the remaining 50% interest.

In Ethiopia, the Company continues to advance plans to commence a 2D seismic program in the Rift Basin Area Block which is expected to start later this year. The Company and its partners have also indicated their intent to enter the next exploration period in the South Omo block. Due to the extensive drilling and seismic program, no additional work commitments will be required during this period. The partnership plans to evaluate the four wells drilled to date to determine if additional drilling is warranted and, if so, which portion of the block is considered most prospective. The Company has informed the Ethiopian Government and its partners that it intends to withdraw from Blocks 7 and 8 in the Somali region. Although the El Kuran-3 well did demonstrate some oil and gas potential, the Company does not feel it is warranted to continue efforts at this time due to concerns over reservoir quality and commerciality.

Africa Oil CEO Keith Hill stated, "We are quite pleased with the Etom discovery which extends the proven petroleum system to the northern portion of the Lokichar basin and derisks several large prospects in that area. We are also encouraged that the Ngamia and Amosing appraisal wells have found thick reservoir and pay intervals that will give us further confidence that these two fields to anchor our development project and look forward to the results of the extended wells tests to confirm the reservoir performance. Our development activities are progressing in support of a Lokichar basin oil development project sanction at the end of 2015/early 2016. We have an exciting exploration portfolio in the new basin opening wells, of which we plan to drill 6 by the end of next year. We are confident that our early successes will be repeated in at least one additional new basin as we move forward to develop the large reserves we have discovered to date."

The Company will hold a conference call to discuss these latest results on Thursday, August 28, 2014 at 7:30 a.m. PDT or 10:30 a.m. EDT or 4:30 p.m. CEST). A presentation will be available for viewing on the Company's website: http://www.africaoilcorp.com/s/presentations.asp

Please call in 10 minutes before the conference starts and stay on the line (an operator will be available to assist you).


                                                                            
Call-in number for the conference call (North America): +1 416 340 2216     
Call-in number for the conference call (North America Toll Free): +1 866 225
0198                                                                        
Call-in number for the conference call (Europe): +800 9559 6849             

A replay of the telephone conference will be available approximately one hour after the completion of the conference call until September 4, 2014.


                                                                            
Replay number in North America: +1 905 694 9451                             
North America (Toll Free) is: +1 800 408 3053                               
                                                                            
The pass code for the replay is: 1251028                                    

About Africa Oil Corp.

Africa Oil Corp. is a Canadian oil and gas company with assets in Kenya and Ethiopia as well as Puntland (Somalia) through its 45% equity interest in Horn Petroleum Corporation. Africa Oil's East African holdings are within a world-class exploration play fairway with a total gross land package in this prolific region in excess of 215,000 square kilometers. The East African Rift Basin system is one of the last of the great rift basins to be explored. The Company is listed on the Toronto Stock Exchange and on NASDAQ OMX-Stockholm under the symbol "AOI".

Forward-Looking Statements

Certain statements made and information contained herein constitute "forward-looking information" (within the meaning of applicable Canadian securities legislation). Such statements and information (together, "forward looking statements") relate to future events or the Company's future performance, business prospects or opportunities. Forward-looking statements include, but are not limited to, statements with respect to estimates of reserves and or resources, future production levels, future capital expenditures and their allocation to exploration and development activities, future drilling and other exploration and development activities, ultimate recovery of reserves or resources and dates by which certain areas will be explored, developed or reach expected operating capacity, that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management.

All statements other than statements of historical fact may be forward-looking statements. Statements concerning proven and probable reserves and resource estimates may also be deemed to constitute forward-looking statements and reflect conclusions that are based on certain assumptions that the reserves and resources can be economically exploited. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as "seek", "anticipate", "plan", "continue", "estimate", "expect, "may", "will", "project", "predict", "potential", "targeting", "intend", "could", "might", "should", "believe" and similar expressions) are not statements of historical fact and may be "forward-looking statements". Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. The Company believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements should not be unduly relied upon. The Company does not intend, and does not assume any obligation, to update these forward-looking statements, except as required by applicable laws. These forward-looking statements involve risks and uncertainties relating to, among other things, changes in oil prices, results of exploration and development activities, uninsured risks, regulatory changes, defects in title, availability of materials and equipment, timeliness of government or other regulatory approvals, actual performance of facilities, availability of financing on reasonable terms, availability of third party service providers, equipment and processes relative to specifications and expectations and unanticipated environmental impacts on operations. Actual results may differ materially from those expressed or implied by such forward-looking statements.

Cautionary Statements regarding Well Test Results

Drill stem tests are commonly based on flow periods of 1 to 5 days and build up periods of 1 to 3 days. Pressure transient analysis has not been carried out on all well tests and the results should therefore be considered as preliminary. Well test results are not necessarily indicative of long-term performance or of ultimate recovery.

ON BEHALF OF THE BOARD

Keith C. Hill, President and CEO

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
While DevOps most critically and famously fosters collaboration, communication, and integration through cultural change, culture is more of an output than an input. In order to actively drive cultural evolution, organizations must make substantial organizational and process changes, and adopt new technologies, to encourage a DevOps culture. Moderated by Andi Mann, panelists discussed how to balance these three pillars of DevOps, where to focus attention (and resources), where organizations might...
In their Live Hack” presentation at 17th Cloud Expo, Stephen Coty and Paul Fletcher, Chief Security Evangelists at Alert Logic, provided the audience with a chance to see a live demonstration of the common tools cyber attackers use to attack cloud and traditional IT systems. This “Live Hack” used open source attack tools that are free and available for download by anybody. Attendees learned where to find and how to operate these tools for the purpose of testing their own IT infrastructure. The...
SYS-CON Events announced today that IoT Now has been named “Media Sponsor” of SYS-CON's 20th International Cloud Expo, which will take place on June 6–8, 2017, at the Javits Center in New York City, NY. IoT Now explores the evolving opportunities and challenges facing CSPs, and it passes on some lessons learned from those who have taken the first steps in next-gen IoT services.
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 20th Cloud Expo, which will take place on June 6-8, 2017 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 add...
SYS-CON Events announced today that MobiDev, a client-oriented software development company, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MobiDev is a software company that develops and delivers turn-key mobile apps, websites, web services, and complex softw...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
Information technology (IT) advances are transforming the way we innovate in business, thereby disrupting the old guard and their predictable status-quo. It’s creating global market turbulence. Industries are converging, and new opportunities and threats are emerging, like never before. So, how are savvy chief information officers (CIOs) leading this transition? Back in 2015, the IBM Institute for Business Value conducted a market study that included the findings from over 1,800 CIO interviews ...
Virtualization over the past years has become a key strategy for IT to acquire multi-tenancy, increase utilization, develop elasticity and improve security. And virtual machines (VMs) are quickly becoming a main vehicle for developing and deploying applications. The introduction of containers seems to be bringing another and perhaps overlapped solution for achieving the same above-mentioned benefits. Are a container and a virtual machine fundamentally the same or different? And how? Is one techn...
What sort of WebRTC based applications can we expect to see over the next year and beyond? One way to predict development trends is to see what sorts of applications startups are building. In his session at @ThingsExpo, Arin Sime, founder of WebRTC.ventures, will discuss the current and likely future trends in WebRTC application development based on real requests for custom applications from real customers, as well as other public sources of information,
As businesses adopt functionalities in cloud computing, it’s imperative that IT operations consistently ensure cloud systems work correctly – all of the time, and to their best capabilities. In his session at @BigDataExpo, Bernd Harzog, CEO and founder of OpsDataStore, will present an industry answer to the common question, “Are you running IT operations as efficiently and as cost effectively as you need to?” He will expound on the industry issues he frequently came up against as an analyst, and...
Keeping pace with advancements in software delivery processes and tooling is taxing even for the most proficient organizations. Point tools, platforms, open source and the increasing adoption of private and public cloud services requires strong engineering rigor - all in the face of developer demands to use the tools of choice. As Agile has settled in as a mainstream practice, now DevOps has emerged as the next wave to improve software delivery speed and output. To make DevOps work, organization...
ChatOps is an emerging topic that has led to the wide availability of integrations between group chat and various other tools/platforms. Currently, HipChat is an extremely powerful collaboration platform due to the various ChatOps integrations that are available. However, DevOps automation can involve orchestration and complex workflows. In his session at @DevOpsSummit at 20th Cloud Expo, Himanshu Chhetri, CTO at Addteq, will cover practical examples and use cases such as self-provisioning infra...
The financial services market is one of the most data-driven industries in the world, yet it’s bogged down by legacy CPU technologies that simply can’t keep up with the task of querying and visualizing billions of records. In his session at 20th Cloud Expo, Jared Parker, Director of Financial Services at Kinetica, will discuss how the advent of advanced in-database analytics on the GPU makes it possible to run sophisticated data science workloads on the same database that is housing the rich inf...
For organizations that have amassed large sums of software complexity, taking a microservices approach is the first step toward DevOps and continuous improvement / development. Integrating system-level analysis with microservices makes it easier to change and add functionality to applications at any time without the increase of risk. Before you start big transformation projects or a cloud migration, make sure these changes won’t take down your entire organization.
Apache Hadoop is emerging as a distributed platform for handling large and fast incoming streams of data. Predictive maintenance, supply chain optimization, and Internet-of-Things analysis are examples where Hadoop provides the scalable storage, processing, and analytics platform to gain meaningful insights from granular data that is typically only valuable from a large-scale, aggregate view. One architecture useful for capturing and analyzing streaming data is the Lambda Architecture, represent...