Solo Oil, a natural resources investment company, has announced that the company is confident about project funding in Tanzania
This announcement was made after its partner Aminex PLC, a gas exploration firm, updated the progress of the Ruvuma and Kiliwani North projects.
At Ruvuma PSA, Aminex has selected service companies to drill the Chikumbi-1 well. It has also signed a conditional rig sharing agreement with Heritage Oil Ltd in order to reduce mobilisation/demobilisation costs for both parties.
At Kiliwani North-1 well, the firm had hired Schlumberger SEACO Inc to remediate and troubleshoot a faulty sub surface safety valve (SSSV).
Managing Director Dan Maling said, “We have been working closely with Aminex on reviewing the forward operational programmes at both Ruvuma and Kiliwani. There are now detailed cost estimates with operational plans in place.”
“While the work programme commitments remain contingent on governmental approvals at Ruvuma, with our recent monetisation efforts we are in a strong cash position with a liquid balance sheet and are confident of being fully funded for next year’s planned well programme and G&A,” he added.
Alastair Ferguson, Solo’s Chairman, commented, “This update comes after a period of discussion and collaboration planning between Solo and Aminex. We are pleased to see Aminex’s issuance of their circular and are supportive of their planned farmout of the Ruvuma PSA to The Zubair Corporation LLC.”
“We regard this deal and the quality of the farminee as a significant external validation of the project and look forward to working with the new operator alongside Aminex to drive the development of the Ruvuma gas project forward. We look forward to further updates from Aminex as we continue to actively participate in the joint venture management and planning processes,” Ferguson concluded.
Solo holds a 25 per cent beneficial interest in the Ruvuma PSA and 8.3918 per cent interest in Kiliwani North-1.