Nostra Terra Oil & Gas Company PLC Wyoming Prospect Update (8132H)
03 December 2015 - 6:01PM
UK Regulatory
TIDMNTOG
RNS Number : 8132H
Nostra Terra Oil & Gas Company PLC
03 December 2015
AIM: NTOG 03 December, 2015
Nostra Terra Oil and Gas Company plc
("Nostra Terra" or the "Company")
Paw Paw Prospect - Unit Approved
Nostra Terra (AIM:NTOG), the oil and gas exploration and
production company with a growing portfolio of assets in the USA
and Egypt, is pleased to announce the approval of an Exploratory
Unit ("Unit") within the Paw Paw Prospect by the Bureau of Land
Management ("BLM") .
The BLM approved the creation of an Exploratory Unit
encompassing the most highly prospective 1,280 acres within the
2,440 acre leasehold within the Paw Paw Prospect. All formations
are included within the Unit.
There are numerous benefits to the creation of the Unit.
Firstly, a single commercial well will perpetuate all leases within
the entire Unit, effectively suspending the original expiration
terms. Secondly, we will be able to operate the original multiple
leases as a single lease under a single operator. This process
allows for more efficient, controlled development and is an
important step in creating value to the prospect.
Nostra Terra currently has a 100% working interest in this
prospect, where Koch Exploration, (a subsidiary of Koch Industries,
the second largest private company in the USA) retains an
overriding royalty interest with the right to convert to a working
interest.
In Tandem with applying for approval of the Unit we are in the
process of becoming an operator in the State of Wyoming and in the
process of applying for the necessary permits to drill.
As the oil markets strengthen Nostra Terra plans to sell a
promoted interest to other oil companies while keeping a carried
working interest and operating. A contract operator has already
been working with the Company at various stages of the planning
process. This allows Nostra Terra to scale up accordingly and drill
larger prospects while maintaining lower overheads.
Haas Engineering (third-party reservoir engineer) has projected
that the potential resource of the leased acreage could be as much
as 7.368 million barrels of oil from primary and secondary
recovery.
Matt Lofgran, Chief Executive Officer of Nostra Terra,
commented:
"This is a significant step in creating value for the Paw Paw
Prospect. We're pleased to see the approval of a Unit covering a
large extent of the leasehold. The potential resource estimated by
the 3(rd) -party engineer further underlines the significance of
this prospect."
For further information, visit www.ntog.co.uk or contact:
Nostra Terra Oil and Gas Company plc
Matt Lofgran, CEO
mlofgran@ntog.co.uk Telephone: +1 480 993 8933
Sanlam Securities UK Limited
(Nominated adviser and broker)
Lindsay Mair / James Thomas / Jamie Vickers Telephone: +44 20 7628 2200
Walbrook PR
Gary Middleton Telephone: +44 207 933 8797
Nick Rome
Glossary
`boe' means barrels of oil equivalent: a unit of energy based on
the approximate energy released by burning one barrel (42 US
gallons or 158.9873 litres) of crude oil.
`boepd' means barrels of oil equivalent per day
'mcfd' means Thousand Cubic Feet per Day
'NRI' means Net Revenue Interests
'WI' means Working Interest
This information is provided by RNS
The company news service from the London Stock Exchange
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