Friday 7 December 2018

Tower Resources plc, the oil and gas company with its focus on Africa, announced that its wholly owned subsidiary, Tower Resources Cameroon S.A, has signed a contract with Vantage Drilling International for the Topaz Driller jack-up rig to provide drilling operations for the NJOM-3 well which is planned for Tower’s 100% owned and operated Thali licence, offshore Cameroon, in Q2 2019.

The Topaz Driller is a Baker Marine Pacific Class 375 jack-up, which was recently mobilised to Cameroon by NewAge as operator for the Etinde license for two appraisal wells and is currently employed in Gabon.

As announced on 1 November 2018, the terms of the contract are confidential, however, the economics are consistent with Tower’s current drilling cost estimates.

The NJOM-3 well will be targeting gross mean contingent (2C) resources of 18 million barrels across the Njonji-1 and Njonji-2 fault blocks located in the south of the Thali licence with an EMV10 of US$118 million, as identified by the recent Oilfield International Limited Reserves Report announced on the 1 November 2018. Furthermore, the NJOM-3 well is expected to de-risk an additional 20 million barrels of gross mean prospective resources across Njonji South and Njonji South-West.

The objectives of the NJOM-3 well are to test the thickness of reservoirs already identified by NJOM-1 and also to test for other reservoirs which may be present at the new location. It will also provide key flow-rate data for the Njonji reservoirs from a drill stem test (“DST”), which would allow reclassification of contingent resources into 2P reserves as well as providing critical reservoir characterisation data for the potential field development strategy.