Government Consents to farm-out of Ambilobe

RNS Number : 6239U

Sterling Energy PLC

04 December 2013

 

4 December 2013

Government Consents to farm-out of Ambilobe (Madagascar)

On 1 November 2013, Sterling Energy Plc, the oil & gas exploration and production company (AIM listed: code SEY), announced that its wholly owned subsidiary, Sterling Energy (UK) Limited ("Sterling"), had executed a Farmout Agreement for the Production Sharing Contract of the Ambilobe Block (the "PSC"), located offshore Madagascar, with Pura Vida Mauritius ("Pura Vida"). 

The consent of the Government of the Republic of Madagascar to the transaction has been granted and completion under the Farmout Agreement has now occurred.

Following completion, the holders of the PSC are now:

·     Sterling Energy (UK) Limited (Operator)        50%

·     Pura Vida Mauritius                                         50%

Sterling Energy Plc.'s Executive Chairman, Alastair Beardsall, said:

"We are very pleased to complete the farmout process. The Ambilobe area is considered to be highly prospective, but remains largely unexplored. We are planning to acquire new seismic data as part of our 2014 work programme to further investigate the potential of the Ambilobe Basin, Sterling's share of the seismic costs will be paid by Pura Vida."

Details of the Ambilobe PSC can be found in Sterling's Investor Presentation which can be viewed on the Company's website at www.sterlingenergyplc.com.

Further information:
Sterling Energy Plc.	Tel: [phone]
Alastair Beardsall (Chairman) Phil Frank (Exploration Director)
Liberum Capital Limited	Tel: [phone]
Simon Atkinson Tim Graham
Peel Hunt LLP	Tel: [phone]
Andy Crossley Richard Crichton

Sterling Energy's website can be found at www.sterlingenergyplc.com

 

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