Leni is currently in the process of acquiring the project and this morning it revealed that an independent assessment of the project had upgraded 3P reserves and contingent resources.
This follows an improvement in confidence resulting from a successful work-over programme.
The report concluded that Goudron has 7.2 million barrels of proven and probable (2P) oil reserves, and 30.4 million barrels of proven, probable and possible (3P) oil reserves - the latter being nearly 40 per cent more than previous estimates.
On top of that it is estimated that the use of water flooding, an enhanced oil recovery technique, would open up a further 63.2 million barrels of oil - which are classified as contingent resources.
Water flooding would also improve oil recovery factors to 28 per cent, according to the study.
Old Park Lane analyst Barney Gray pointed out in a note to clients that his 3.4p a share price target for Leni - which implies the shares are worth a lot more than the current price of 0.66p – assumes that only 10 per cent of the 3P reserves are recovered.
“Given that a sustained work-over and infill drilling programme has the potential to access a significantly greater volume of these reserves, we believe that there is substantial upside in our valuation,” he said.
“Additionally, a water-flood programme targeting a further 60 mmbbls in the longer term, has the potential to move the economics of Goudron into a different league.”
A new five well work over programme is expected to get underway at Goudron in October to follow up the success of the first programme.
This morning Leni chief Neil Ritson said: "The availability of an independent CPR which confirms the 2P estimates available at the time of purchase and provides a 39% upgrade of the 3P reserves is excellent news.
“This report also contains a review of the contingent resources associated with a possible water-flood and reveals that a very significant prize of up to over 60 mmbbls is available.
“We anticipate completing the acquisition within the next month and we will also be mobilizing a rig to the field again later this month."