Operations Update for the Ntem Concession

RNS Number : 6327Z

Sterling Energy PLC

10 February 2014

 

10 February 2014

Operations Update for the Ntem Concession (Cameroon)

Sterling Energy Plc, the AIM listed oil & gas exploration and production company (AIM: SEY), is pleased to provide the following update for the Ntem Concession, offshore Cameroon.

The operator, Murphy Cameroon Ntem Oil Co. Ltd ("Murphy"), has confirmed that drilling operations have commenced on the Bamboo-1 well using the Ocean Confidence, a fifth generation semi-submersible drilling rig.

The well, located approximately 56 kilometres from the coast of Cameroon, has an estimated target depth of 4200 metres true vertical depth sub-sea (TVDSS) and will be drilled in a water depth of approximately 1600 metres. Drilling operations are anticipated to take approximately 60-70 days.

Sterling Cameroon Limited ("Sterling") has a 50% non-operated working interest in the Ntem Concession.   Murphy will pay Sterling's share of the costs for the drilling of the Bamboo-1 well. 

The Bamboo prospect is a basin floor fan target within the highly prospective Upper Cretaceous play. A series of stacked fan targets have been identified and will be intersected by the Bamboo-1 well with the primary objective estimated to have a mean un-risked, gross prospective resource of 422 million barrels of oil and 170 billion cubic feet of gas, a total of some 450 million barrels of oil equivalent.

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

"We are very pleased that we have commenced the drilling of an exploration well on the highly prospective Ntem Concession."

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

In accordance with the guidelines of the AIM Market of the London Stock Exchange, Dr Philip Frank, Ph.D. Geology, Exploration Director of Sterling Energy Plc, who has been involved in the oil industry for over 30 years, is the qualified person that has reviewed the assessment of resources set out above. The estimate of resources was prepared using the March 2007 SPE/WPC/AAPG/SPEE Petroleum Resources Management System (PRMS) as the standard for classification and reporting.

Further information can be found in Sterling Energy's Investor Presentation which can be viewed on the Company's website at www.sterlingenergyplc.com

 

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