Melbana Energy Limited (MAY) (Melbana) is pleased to provide the following update on Cuba Block 9 (Melbana 100% and operator).
Recently completed gravity and magnetic study commissioned by Melbana and undertaken by Cuba’s
specialist technical laboratory CEINPET over the 71 million barrel1 Zapato prospect has indicated a strong
gravity and magnetic alignment with the structural interpretation Melbana’s technical team derived from
seismic and surface data. This result is supportive of Melbana’s assessment of the prospectivity of Zapato
as a large carbonate duplex structure along strike from the Motembo discovery which produced light 56oAPI
oil.
Block 9 has high quality detailed pre-existing gravity and magnetic data sets. In the type of geology present
in Cuba it is common to use a combination of seismic, magnetic and gravity data sets to define prospectivity.
The study of these data sets, when used together, are tools that can be used in the technical de-risking of
other large leads and prospects identified in the seismic based interpretation in the southern part of Block 9.
Carbonate duplex structures such as Zapato are being targeted by Melbana due to their potential to contain
Varadero style oil accumulations and are able to be identified using this technique by their combined gravity
and magnetic response which differentiates them from low prospectivity intervals. Melbana is considering
use of this technique to highgrade other Block 9 prospects, such as Piedra.
Melbana Energy’s CEO, Robert Zammit, said:
“The work commissioned by Melbana as part of its Block 9 work program supports our structural interpretation
and demonstrates the significant potential of the Zapato prospect for high quality light oil similar to that found
at Motembo. We are progressing environmental approvals and permitting to allow us to drill Zapato. Several
of our potential farmin partners have expressed strong interest in Zapato and we remain flexible in our forward
plans.”
Overview of Block 9 PSC, Onshore Cuba
Block 9 PSC (Block 9) covers 2,380km2 onshore of the north coast of Cuba. It is in a proven hydrocarbon
system with multiple producing fields within close proximity, including the Majaguillar and San Anton fields
immediately adjacent to it and the multi-billion barrel Varadero oil field further west (see figure 3). Block 9
contains the Motembo field, the first oil field discovered in Cuba. Melbana is prequalified as an onshore and
shallow water operator in Cuba and was awarded Block 9 on 3 September, 2015. Melbana’s established
position in Cuba provides it with a strong early mover advantage.
Contingent and Prospective Resources: The information that relates to Contingent Resources and Prospective
Resources for Melbana is based on, and fairly represents, information and supporting documentation prepared by Mr.
Dean Johnstone, who is an employee of the company and has more than 34 years of relevant experience. Mr.
Johnstone is a member of the American Association of Petroleum Geologists. Mr. Johnstone consents to the publication of the resource assessments contained herein. The Contingent Resource and Prospective Resource estimates are consistent with the definitions of hydrocarbon resources that appear in the Listing Rules. Conversion factors: 6 Bscf gas equals 1 MMboe; 1 bbl condensate equals 1 boe
.
