Afren plc, announces its Interim Management Statement and financial results for the nine months ended 30 September 2012 and an update on its operations year-to-date 2012, in accordance with the reporting requirements of the EU Transparency Directive. Information contained within this release is un-audited and is subject to further review.
Commenting on this IMS, Osman Shahenshah, Chief Executive of Afren plc, said:
“Afren has delivered another period of record financial results following the year-on-year increase in net production offshore Nigeria. The Company is on course to realise over a billion dollars of net operating cash flow in 2012, all from Afren’s greenfield developments. I am also particularly pleased to see our ongoing exploration campaign delivering commercial success; with multiple E&A wells planned over the coming months in Nigeria, East Africa and the Kurdistan region of Iraq, Afren is well placed to continue to add to the growing reserves base.”
Having satisfied all seismic work commitments with the acquisition of 750 km of 2D seismic over the block in 2011, the operator (Tullow Oil) commenced exploration drilling at the Paipai prospect in September 2012 and continues to drill ahead.
Acquisition of the planned 1,900 km of 2D seismic data is nearing completion during the fourth quarter of 2012.
Interpretation of the new 1,207 km of 2D seismic data acquired in January 2012 has identified four new highly encouraging prospects, in addition to the previously mapped prospects in the shallow water. These prospects represent a major new play with lower risk and greater materiality than the shallow water play, and together have increased the mean prospective resources on the block from 94 mmboe to 1,088 mmboe, since the Black Marlin acquisition. As a result, Afren, in close consultation with the Ministry of Energy, has commenced the acquisition of 1,000 km2 3D seismic in lieu of the well commitment, in order to better understand the deep water prospectivity, prior to exploration drilling. In addition, an onshore 2D seismic survey of 120 km has been contracted and commenced in September 2012 to simultaneously continue maturation of the shallow water/onshore play.