Solo Oil has received confirmation from the operator Ndovu Resources Limited that the Mtwara Exploration Licence has been formally extended by the Ministry of Energy of Tanzania
The Mtwara Exploration Licence sits within the Ruvuma PSA and contains the Ntorya gas field.
It is noted that receiving this extension was one of the last remaining conditions required by Aminex PLC (owner of Ndovu Resources Limited) to conclude the farm-out agreement with ARA Petroleum Tanzania Limited (ARA), and Aminex subsequently provided market updates on completion progress.
Once the deal has been completed, there will be a process for installing ARA as an operator under the Joint Operating Agreement and Solo looks forward to having ARA actively lead the Ntorya Gas Field development in the coming months.
Commenting on the update, CEO Tom Reynolds, said, “We want to reassure shareholders that we are working hard to deliver our strategy, whilst running the company as cost-efficiently and effectively as possible.
“Our ongoing sales process is progressing and we are encouraged by the interest in the company’s natural gas assets in Tanzania. The Board will base any decision on what is in the best interests of Solo’s shareholders, updating the market when we can with any developments. In parallel, we continue to screen opportunities in line with our augmented growth strategy and believe that the recalibration of the European gas market in light of the current turmoil will present the company with an increased pipeline of compelling opportunities a broader range of revenue generating gas and power opportunities.
“These are undoubtedly challenging times for the industry, and indeed the world, however we are navigating the challenges accordingly as we seek to realise value from the existing portfolio and set the company on its stated strategic path.”
