Proactiveinvestors recommends
Additional Information
Market: AIM
Sector: Energy
EPIC: SOLO
Latest Price: 0.47p  (4.44% Ascending)
52-week High: 3.12p
52-week Low: 0.41p
Market Cap: 12.18M
1 year chart
digital-look imported chart image
1 day chart
digital-look imported chart image
Watchlist/Portfolio

Add to watchlist:

Only registered members can add into watchlist !

Register here !
Solo Oil
www.solooil.co.uk

Solo Oil plans to acquire a diverse portfolio of direct and indirect interests in exploration, development and production oil and gas assets which are based in the Americas, Europe or Africa. Both on-shore and off-shore interests will be considered. The intention is to acquire a widely distributed mix of oil and gas development and production assets.

Full Solo Oil profile here
Is SOLO a Buy, Sell or Hold?Get your FREE analysis of SOLO
Pdf

Solo Oil's share price skyrockets on results from Ausable#5 well in Ontario

13th Apr 2011, 12:15 pm by Giles Gwinnett As at noon the stock was changing hands at 0,98 pence - up 113.04% on yesterday's close

Solo Oil's (LON:SOLO) share price was flying today and increased well over 100 per cent on results from the Ausable#5 well in Ontario, which showed it had a "high probability" of being productive.

As at noon the stock was changing hands at 0.98 pence  - up 113.04% on yesterday's close.

The well in Canada was completed last month by the firm's JV partner Reef Resources, and the results showed over 70 metres of net hydrocarbon pay.

Further analysis of the core is planned and the well will be completed as a production well. Results of the production tests and the full analysis of the cores will be announced once available.

Craig Howie from broker Shore Capital described today's news as "very encouraging" adding that the partners appeared confident that the Ausable #5 well will become a commercial producer and provide more material production rates from the Ausable field. 

"We also look forward to results from remedial work on Ausable #2, which provides the potential for additional short term newsflow," said the analyst.

"Beyond this, later in 2011, we expect Ruvuma-2 in Tanzania to provide high impact excitement in an area which is attracting high levels of industry interest."

In today's statement, Reef Resources said that analysis of the Ausable #5 well was now complete and that logs showed 72 metres net pay of oil, natural gas liquids (NGL's) and natural gas in the Guelph and A2 formations.

Evidence of hydrocarbons was shown on core and logs throughout the Guelph formation, it said, with analysis on Guelph indicating that the net oil and gas liquids pay zone is 57 metres with porosity averaging 9.7%.

Additionally, the shallower A2 formation was identified as a potential gas producer with net pay of 15 meters and 7% porosity.

Arnie Hansen, Reef president said: "The Ausable #5 well has exceeded our expectations.

"The log and core results confirm the notion the Ausable reef is an underutilized and undervalued asset. Findings on the Ausable #5 well confirm the Company logic to accelerate the Enhanced Oil Recovery (EOR) and Natural Gas Liquids program".

The Ausable reef is currently on production and is generating revenue from the initial Enhanced Oil Recovery Natural Gas Liquids Recycling program which began in the fourth quarter of 2010.

Neil Ritson, executive director of Solo, said: "These results, with over 70 metres of net hydrocarbon pay, are extremely encouraging and the Ausable #5 well has a high probability of being productive.

He added "The well, financed by Solo's participating loan, adds further encouragement that the EOR scheme will be commercially successful."

Last year Solo confirmed that it was also a full party to the Ruvuma joint operating agreement over the Lindi and Mtwara blocks in Tanzania, Africa alongside Tullow Oil (LON:TLW) and Aminex (LON:AEX).

No investment advice

The Company is a publisher and is not registered with or authorised by the Financial Services Authority (FSA). You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is suitable or advisable for any specific person. You further understand that none of the information providers or their affiliates will advise you personally concerning the nature, potential, advisability, value or suitability of any particular security, portfolio of securities, transaction, investment strategy, or other matter.

You understand that the Site may contain opinions from time to time with regard to securities mentioned in other products, including company related products, and that those opinions may be different from those obtained by using another product related to the Company. You understand and agree that contributors may write about securities in which they or their firms have a position, and that they may trade such securities for their own account. In cases where the position is held at the time of publication and such position is known to the Company, appropriate disclosure is made. However, you understand and agree that at the time of any transaction that you make, one or more contributors may have a position in the securities written about. You understand that price and other data is supplied by sources believed to be reliable, that the calculations herein are made using such data, and that neither such data nor such calculations are guaranteed by these sources, the Company, the information providers or any other person or entity, and may not be complete or accurate.

From time to time, reference may be made in our marketing materials to prior articles and opinions we have published. These references may be selective, may reference only a portion of an article or recommendation, and are likely not to be current. As markets change continuously, previously published information and data may not be current and should not be relied upon.