Savannah Petroleum has announced that its resource estimate on Niger’s R1/R2 license area has doubled to 1,191mn barrels following an independent study
According to oil and gas consultant CGG Robertson, increased R1/R2 best estimate gross risked prospective oil resources from 573mn barrels of oil, a figure submitted in a Competent Persons Report published in July 2014, to 1,191mn barrels.
CGG Robertson also assessed the size and risk profile of fourteen of Savannah Petroleum’s previously announced 3D seismic backed drill-ready exploration prospects in Niger. These prospects were deemed to contain a gross mean unrisked recoverable resource volume of 259mn barrels of oil, instead of Savannah Petroleum’s estimate of 215mn barrels.
Savannah Petroleum CEO Andrew Knott said, “It is highly encouraging for our stakeholders that CGG Robertson’s assessment of the size of the R1/R2 prize continues to increase and that they have validated our assessment of the potential size and risk profile of our previously announced drill-ready prospect inventory. Equally as important is the progress we have made in better delineating ARB development economics.
Overall, CGG Robertson’s work supports our view that R1/R2 is potentially a large, relatively low risk and low cost asset. As a company we remain focused around accelerating the exploration, appraisal and anticipated future development of R1/R2.”
CGG Robertson’s analysis has drawn on the findings of the recently completed structural interpretation of the ARB Full Tensor Gradiometry survey as well as Savannah Petroleum’s wider ARB technical data set consisting of 2D and 3D seismic data, well logs and final reports and geological evaluation studies, including stratigraphy, reservoirs, source rocks, basin modelling, structural geology and basin evolution reports.