Longreach in solid position to carry out 2012 plans

Morroco_desertLongreach Oil & Gas has several inland and offshore interests in Morocco. (Image source: Rosino)Morocco-focused Longreach Oil & Gas has said it is fully funded for its current work programmes following a successful conclusion to 2011

The company concluded the year ended December 31, 2011, with cash of C$10.5 million (US$10.7 million), up from C$5.2 million (US$5.3 million) in December 2010, and has working capital of C$7.4million (US$7.5 million), up from C$3.2 million (US$3.25 million) in December 2010.

“Longreach completed all its work programme commitments during 2011,” said Longreach chairman and CEO Bryan Benitz.

“Extensive new seismic acquisitions were completed on the Tarfaya and Zag licences and completion of G&G work on the offshore licences has enabled Longreach and joint venture partners to begin a farm-out process to attract industry partners for the drill phase.

“We added the Sidi Moktar onshore licence to our portfolio and are well underway with the interpretation of existing data on this licence,” he noted.

Longreach has completed geological and geophysical work on its Foum Draa and Sidi Moussa offshore licences, while a farm-out of its offshore licences is currently underway.

Extensive geological and geophysical interpretation of existing data on Sidi Moktar is also underway, which includes the interpretation of more than 6,000km of 2D seismic and the 43 historical wells drilled on the acreage, while prospect evaluation is in progress on Sidi Moktar.

“We remain well funded to complete our work programme commitments this year, which will see Longreach develop the resource potential on our licences and advance us further to drill stage,” added Benitz.

Longreach closed its Sidi Moktar farm-in during September 2011, which gave it operatorship and a net 50 per cent working interest of the site.

The company also strengthened its investor base with the completion of a C$10.1 million (US$10.3 million) equity financing in July 2011.

Alain Charles Publishing, University House, 11-13 Lower Grosvenor Place, London, SW1W 0EX, UK
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