Update on South Omo Block in Ethiopia (3769C)
March 07 2011 - 2:00AM
UK Regulatory
TIDMAGTA TIDMTLW
RNS Number : 3769C
Agriterra Ltd
07 March 2011
Agriterra Ltd / Ticker: AGTA / Index: AIM / Sector:
Agriculture
7 March 2011
Agriterra Ltd ('Agriterra' or 'the Group')
Update on South Omo Block in Ethiopia
Agriterra Ltd, the AIM listed group focussed on the agricultural
and logistics sectors in central and southern Africa, notes the
recent developments regarding Tullow Oil plc's ('Tullow') farm-in
transaction on the 29,465 sq km South Omo Block in Ethiopia ('South
Omo' or 'the Concession'), a legacy concession in which Agriterra
has a 20% interest, following the Company's farm-out agreement with
Africa Oil Corp. ('Africa Oil'), announced on 17 June 2010.
Tullow completed a farm-in agreement on South Omo with Africa
Oil on 9 December 2010 which was subsequently approved by the
Ministry of Mines and Energy in Ethiopia on 22 February 2011. This
farm-in agreement has provided Tullow with a 50% interest in the
Concession and full operational control of its development, leaving
Africa Oil with a 30% stake, and Agriterra with the remaining 20%
interest. The South Omo Block is within the Tertiary age East
African Rift, just north of Lake Turkana, located across the
Ethiopian border in Kenya and within the same petroleum system as
Africa Oil's Kenya Block 10BB and Tullow's Ugandan discoveries.
Agriterra Chairman Phil Edmonds said, "This is a significant
step towards accelerating exploration on the South Omo Block, which
will be guided by a leading E&P company with extensive
practical experience of operating in Africa. Tullow has an
exceptional technical and operational track record, with an
excellent success rate in regard to exploration. This expertise has
been demonstrated by Tullow's successful development of its
Ghanaian and Ugandan blocks, and I believe that this experience,
which includes expertise in the East African Rift Basin, presents
Tullow as an extremely attractive operator to drive exploration on
the concession.
"Exploration programmes on the South Omo block will be funded by
Tullow and Africa Oil, as per our original farm-out agreement with
Africa Oil, which included sufficient credits from Africa Oil to
Agriterra to take the Concession through to drilling. The
exploration programme, which has been approved by the Ministry of
Mines and Energy in Ethiopia, will commence shortly.
"Should a discovery be made on the block, then Agriterra's 20%
interest in South Omo could prove to be very lucrative for the
Company's shareholders and we look forward to future announcements
regarding the South Omo concession."
**ENDS**
For further information please visit www.agriterra-ltd.com or
contact:
Andrew Groves Agriterra Ltd Tel: +44 (0) 20 7408
9200
Jonathan Wright Seymour Pierce Ltd Tel: +44 (0) 20 7107
8000
David Foreman Seymour Pierce Ltd Tel: +44 (0) 20 7107
8000
Robin Henshall Matrix Corporate Capital Tel: +44 (0) 20 3206
LLP 7000
Nick Stone Matrix Corporate Capital Tel: +44 (0) 20 3206
LLP 7000
Hugo de Salis St Brides Media & Finance Tel: +44 (0) 20 7236
Ltd 1177
Susie Geliher St Brides Media & Finance Tel: +44 (0) 20 7236
Ltd 1177
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCJIMITMBBMBJB
Agriterra Ld (LSE:AGTA)
Historical Stock Chart
From May 2024 to Jun 2024
Agriterra Ld (LSE:AGTA)
Historical Stock Chart
From Jun 2023 to Jun 2024