Trading Symbol: NWX (TSX-V)
VANCOUVER, BC, Sept. 29, 2021 /CNW/ - Newport Exploration Ltd ("Newport" or "the Company") provides an update on operations for licences in the Cooper Basin, Australia, over which the Company has a 2.5% gross overriding royalty ("GOR"). This information was reported by Beach Energy Ltd ("Beach") (ASX: BPT) in its 2021 Investor Update dated 28 September 2021.
Beach reports on the Western Flank, which includes ex PEL's 91, 106 and 107, and PRL 26 which are subject to the Company's GOR, as well as for ex PEL's 92, 104/111, PEL's 113/115/516/90/93, PRL's 83, 135 and PPL 270 which are not.
Beach report the following from the Western Flank;
- 27 producing oil fields, 4 producing gas fields
- Majority of fields are fully appraised and producing under natural reservoir decline following extensive development drilling it its FY20 and FY21
- 185 wells producing, 115 wells on a level of support
- FY23-25 decline rate is projected to progressively reduce from ~20% to ~12%, similar to single well decline
- Five additional development wells are planned for its Q2 FY22 to increase production, reduce decline rates and convert undeveloped to developed reserves
- Further production increase through re-completion of other reservoirs
- Middleton gas volumes are contracted until its mid-FY22
Beach report the following from the Western Flank;
- 24 oil prospects were developed to drillable status in Beachs' FY22
- Up to 15 oil exploration wells planned for the second half of FY22
- Focus will be on proven Namur and McKinlay reservoirs
- Drilling will be adjacent to existing discoveries to facilitate tie-in for FY23 onwards production
- Commenced drilling the four gas exploration wells planned for its FY22
- Two discoveries have been made from the three wells drilled to-date on ex PEL 106, being the Rosebay and Lowry South wells.
- Plans for wells to be tied in late Q2 FY 222
- Reserves will be evaluated once production history is sufficient
- Further potential exists within and to the south of the existing fields
The Company receives its GOR from Beach, which is not a reporting issuer in Canada. Therefore Newport is not able to confirm if disclosure satisfies the requirements of Canadian Securities legislation.
Newport has no control over operating decisions made by Beach and is not privy to exploration or production data derived by Beach during operations. Accordingly, this prevents the Company from commenting on operating plans going forward.
As always, the Company recommends that shareholders and potential investors access material information relevant to the Company as released independently by Beach and Santos Ltd in order to keep current during exploration, development and production of all the licenses subject to the Company's GOR.
The Company currently has 105,579,874 common shares issued and outstanding and approximately $4.9 million in the treasury (comprised of cash, cash equivalents, and short-term investments), and no debt.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the accuracy or adequacy of this news release.
Cautionary Statement on Forward-Looking Information
This news release is intended to provide readers with a reasonable basis for assessing the future performance of the Company. The words "believe", "should", "could", "expect", "anticipate", "contemplate", "target", "plan", "intends", "continue", "budget", "estimate", "may", "will", "schedule" and similar expressions identify forward-looking statements. Forward-looking statements may pertain to assumptions regarding Beach's drilling plans, future dividends, the price of oil and fluctuations in currency markets (specifically the Australian dollar). Forward-looking statements are based upon a number of estimates and assumptions that, which are considered reasonable by the Company, are inherently subject to business, economic and competitive uncertainties and contingencies. Factors include, but are not limited to, the risk of fluctuations in the assumed prices of oil, the risk of changes in government legislation including the risk of obtaining necessary licences and permits, taxation, controls, regulations and political or economic developments in Canada, Australia or other countries in which the Company carries or may carry on business in the future, risks associated with developmental activities, the speculative nature of exploration and development, and assumed quantities or grades of reserves. Readers are cautioned that forward-looking statements are not guarantees of future performance. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those acknowledged in such statements.
The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except to the extent required by applicable laws.
© 2021 Newport Exploration Ltd.
SOURCE Newport Exploration Ltd.
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