Sintana Energy (TSX-V:SEI, OTCQB:SEUSF) has provided an update regarding the ongoing exploration campaign on blocks 2813A and 2814B located in Namibia’s Orange Basin, noting that Galp Energia’s subsidiary, which operates the Petroleum Exploration License 83 (PEL 83), now confirms the discovery of a “significant” column of light oil in reservoir-bearing sands of high quality in the Mopane-1X well.
The petroleum and natural gas explorer/developer said the acquired data will continue to be analyzed and a Drill Stem Test (DST) may be performed in the coming weeks to assess the commercial viability of the discovery.
Shares of Sintana Energy (TSX-V:SEI, OTCQB:SEUSF) powered 30% higher to $0.41 in late-morning trading on Wednesday.
"The timeliness of our entry into Namibia continues to be demonstrated with the ongoing progress and success within the exploration portfolio we hold through our local partners, including Custos," Sintana Energy (TSX-V:SEI, OTCQB:SEUSF) CEO Robert Bose said in a statement.
"This light oil discovery is further evidence of the scale and opportunity that lies within our portfolio, including an unmatched position in the heart of the Orange Basin in Namibia," he added.
Sintana added that the drilling operations at Mopane-1X, the first exploration well at PEL83, will proceed to explore deeper targets, and upon completion the rig will be relocated to the Mopane-2X location to further evaluate the extent of the Mopane discovery.
Sintana Energy is engaged in petroleum and natural gas exploration and development activities on five large, highly prospective, onshore and offshore petroleum exploration licenses in Namibia and Colombia’s Magdalena Basin.