LAGOS, Nigeria, Dec. 5, 2016 /PRNewswire/ -- Hyperdynamics
Corporation (OTCQX: HDYN) today announced it has signed a Letter of
Intent (LOI) with South Atlantic Petroleum Limited (SAPETRO) under
which the two companies will negotiate the assignment of a
participating interest in Hyperdynamics' oil and gas concession
offshore the Republic of Guinea.
SAPETRO is a privately held Nigerian oil and gas exploration and
production company with a portfolio of assets in Nigeria and the Mozambique Channel. The
Letter of Intent, which is non-binding, calls for SAPETRO to take a
20% participating interest in exchange for paying 40% of the costs
of the upcoming Fatala well up to a $50
million cap of predicted total well costs. Above that
amount, SAPETRO would pay its proportional 20% share.
The LOI contemplates that the two companies will work to sign
definitive documents within 45 days unless extended by further
agreement. SAPETRO's responsibility for financial commitments
related to the concession begins immediately but will not be due
for payment until final approvals from the government of
Guinea are received.
"The addition of SAPETRO to the Guinea project team represents a big step
forward in sharing project-related costs and risks with reputable
industry players who recognize Hyperdynamics' Guinea concession's economic attractiveness
and geologic prospectivity," said Ray
Leonard, Hyperdynamics' President and Chief Executive
Officer. "SAPETRO's experience in West
Africa, its financial strength and its desire to have an
exposure in high-quality, high-reward exploration acreage that will
be tested in the near future makes them an ideal partner for
us."
Based in Lagos, Nigeria,
SAPETRO holds a 15% interest in the prolific OML 130 license
offshore Nigeria, operated by
Total. The block contains two fields containing each in
excess of 550 million barrels of oil, with the Akpo field reaching
peak production of 197,000 barrels of oil per day in 2010 and the
Egina field planned to come on stream in the second quarter of 2018
reaching a peak production rate of 200,000 barrels of oil per day
by the end of 2018.
About Hyperdynamics
Hyperdynamics is an emerging independent oil and gas exploration
company that is exploring for oil and gas offshore the Republic of
Guinea in West Africa. To find out more, visit our
website at www.hyperdynamics.com.
Forward Looking Statements
This News Release contains "forward-looking statements" within
the meaning of Section 27 A of the Securities Act of 1933, as
amended, and Section 21 E of the Securities Exchange Act of 1934,
as amended. Forward-looking statements include statements
concerning plans, objectives, goals, strategies, expectations,
future events or performance and underlying assumptions and other
statements which are other than statements of historical
facts. Forward-looking statements generally can be identified
by the use of forward-looking terminology such as "may," "will,"
"expect," "plan," "project," "anticipate," "estimate," "believe,"
or "think." Forward-looking statements involve risks and
uncertainties which could cause actual results or outcomes to
differ materially from those expressed in the forward-looking
statements. We assume no duty to update or revise our
forward-looking statements based on changes in plans or
expectations or otherwise.
Contacts:
Ray Leonard
President and Chief Executive Officer
713-353-9445
Anne Pearson / Jack Lascar
Dennard-Lascar Associates
713-529-6600
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SOURCE Hyperdynamics