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Deepening Shabeel North Well Update
Red Emperor Resources NL (ASX: RMP | AIM: RMP) provides the
following update on the Shabeel North well in Puntland,
Somalia which is being drilled by operator Horn Petroleum
Corp. ("Horn").
Further to the recent announcement on the testing of the
upper Jesomma sand reservoir which yielded fresh water, the
well continued drilling through the entire Jesomma reservoir
section and has reached a depth of 2,200 meters. The section
contained several additional sands with oil and gas shows and
a full set of electrical logs was run to determine if these
sands contained potential oil zones which would warrant
further testing. The analysis of these logs indicate that the
most prospective looking zone in the well was the upper
Jesomma sand interval that had already been confirmed by
testing to contain fresh water and thus no further testing
could be justified.
Based on the positive evidence of oil shows and the presence
of good quality reservoir in the Jesomma, the partnership has
decided to deepen the well in order to evaluate the potential
of the Lower Cretaceous and Jurassic sections. The current
revised total depth will be approximately 3,400 meters and is
expected to take an additional 15 to 20 days to reach that
depth. The Jurassic section in the nearby Shabeel well had
thin reservoir sands with oil and gas shows, but this section
was determined to be not thick enough to warrant testing.
These sands are expected to thicken basinward towards Shabeel
North. There was also evidence that there may have been
faulting in the well which could have cut out a significant
portion of the basal reservoir section, which is not expected
in Shabeel North.
Horn President and CEO David Grellman stated "While we are
obviously disappointed that the Jesomma sands tested wet, the
overall results of the two wells drilled during this campaign
are quite encouraging in the long term prospects for oil
potential of the basin. We have confirmed a working petroleum
system, good quality reservoirs and thick impermeable sealing
rocks. The two Jesomma structures drilled to date appear,
subject to final petrophyical analysis, to have issues with
the integrity of the trapping mechanism. We are still hopeful
that the lower zones in the Shabeel North well may have
favorable trapping geometries against the deeper thick
carbonate and anhydrite sections seen in the original Shabeel
well."
For and on behalf of the Board
Mr Greg Bandy
EXECUTIVE DIRECTOR
Mr Jason Bontempo
NON-EXECUTIVE DIRECTOR
Mr Stephen Brockhurst
NON-EXECUTIVE DIRECTOR
Ms Rebecca Sandford
Ms Shannon Robinson
JOINT COMPANY SECRETARY
REGISTERED OFFICEGround Floor
1 Havelock Street
West Perth WA 6005
POSTAL ADDRESSPO Box 1440
West Perth WA 6872
CONTACT DETAILSTel: +61 8 9488 5220
Fax: +61 8 9324 2400
WEBSITE SHARE REGISTRY Computershare Level 245 St Georges Terrace
Perth WA 6000
Tel: 1300 555 159
NOMINATED ADVISER & JOINT UK BROKERFox Davies Capital Limited
1 Tudor Street
London EC4Y 0AH
Tel: +44 (0) 203 463 5010
JOINT UK BROKEROld Park Lane Capital plc
49 Berkley Square
London W1J 5AX
Tel: +44 (0) 207 493 8188
ASX CODE | AIM CODERMP
Background
Red Emperor Resources NL (ASX: RMP | AIM: RMP) is a natural resources exploration company with interests in the frontier state of
Puntland, Somalia and the Republic of Georgia.