Proactive Investors - Run By Investors For Investors

Tower Resources sees May spud date for key Cameroon well

Chairman Jeremy Asher has put up a US$750,000 bridging loan while it finalises the finance required to drill the well
oil rig
Thali is in shallow waters off the Cameroon coast

Tower Resources PLC (LON:TRP) has scheduled a spudding a date of late May for its first well on the Thali block in Cameroon. 

The Topaz Driller rig is available in the last week in May, with the location now agreed with Cameroon’s state oil company SNH.

READ: Tower Resources’ Algoa-Gamtoos prospects boosted as Total opens up world class discovery next door

A full drilling team is now in place and operating from the company's offices in Douala, added Tower, and all long lead items have now been acquired and all services contracted on a late-May spud date basis.

NJOM3 will be drilled to a total depth of 1,100 metres intersecting at least three reservoir zones already identified by two discovery wells drilled on the Njonji structure by previous operator Total.

Chairman Jeremy Asher has put up a US$750,000 bridging loan while it finalises the finance required to drill the well.

NJOM3 will cost around US$10mln to drill and a further US$4mln to test if successful.

Tower intends to use bank financing and own or partner equity to fund the well.

Discussions with a local bank are underway over a US$15nln facility, which could be extended to US$50mln. Tower still hopes this can be established by mid-May.

Talks are also underway with several possible partners for the Thali licence.

NJOM3 will confirm the greater reservoir thicknesses observed in reprocessed 3D seismic and identify other potential reservoirs not present in data from the two wells drilled by Total.

Tower intends it to be one of four initial production wells on the structure with first oil pencilled in for 2020.

View full TRP profile View Profile

Tower Resources PLC Timeline

Related Articles

A map of Buru tenure in the Kimberley region of Western Australia's northwest
March 22 2019
Buru’s chairman Eric Streitberg will speak at an energy and minerals conference in Brisbane next Wednesday.
Q&A, question and answer graphic
January 17 2019
The company is focused on the prolific oil & gas producing Anadarko Basin in the US state of Oklahoma.
oil rig
November 22 2018
A1 is some 19 kilometres from the Tendrara production concession area and seen as a potential major expansion of its existing discoveries

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use