Vanoil Energy Ltd. is pleased to announce that the Ministry of Energy of Kenya has formally approved Vanoil's work programs for 2011 and 2012 on Vanoil's 100% owned Blocks 3A and 3B, which are comprised of 24,912 square kilometre of oil and gas concessions in the Republic of Kenya's Central African Rift Basin System. Vanoil is also pleased to announce that the data compiled from the recent 2D seismic program conducted by BGP on the Company's Blocks 3A & 3B, which covered 447 line kilometres, and cost in excess of US $5,000,000, is being processed and interpreted.
Work Programs for 2011/2012 Blocks 3A&3B
The approvals granted by the Ministry of Energy of Kenya for Vanoil's 2011 and 2012 work programs included the following objectives:
Block 3A - Year 2011
Process new data, integrate with Chevron 1974-75 vintage and interpret data.
Design and acquire a minimum of 25 square kilometres of 3D seismic survey targeting the most highly ranked lead in Block 3A.
Block 3A - Year 2012
Drill an exploratory well with a minimum depth of 3,000 meters.
Block 3B - Year 2011
Pay a signing bonus, surface fees and training fees.
Acquire wide air magnetic and gravity data or acquire a minimum of 300 kilometres of 2D seismic surveys.
Block 3B - Year 2012
Design and acquire a minimum of 25 square kilometres of 3D seismic survey targeting the most highly ranked lead in Block 3B.
Results forthcoming from US $5,000,000 2D seismic program in Blocks 3A and 3B
Vanoil anticipates that the results from the 2010 2D seismic program, in Blocks 3A & 3B will be available in the first quarter of 2011. A key objective of the seismic program was to mature six priority structural leads in Block 3A and 3B to drillable targets.
Dal Brynelsen, Vanoil's President and CEO, commented, "The vastly under-explored Central African Rift Basin System is attracting the interest of a number of key players in the oil and gas industry. In light of the number of joint ventures and consolidations that have occurred in the region, including the participation agreement between Tullow Oil, Africa Oil and Centric Energy Corp., and most recently, the announcement on November 29, 2010, of the acquisition by Africa Oil Corp. of Centric Energy Corp,. Vanoil strategically finds itself in an advantageous position in Kenya, as the Company stands alone among a number of significant industry players with its 100% owned, 24,912 square kilometre concessions that cover Blocks 3A and 3B."
