CALGARY, Aug. 29, 2014 /CNW/ - During the second quarter of 2014,
PETROMAROC CORPORATION PLC (TSXV: PMA) (the Company or PetroMaroc)
completed drilling of its second exploration well, Kamar-1, which
encountered two prospective natural gas zones in the onshore operated
Sidi Moktar licence in the Essaouira Basin, Morocco.
"Our first two exploration wells - Koba-1, drilled in late 2013, and
Kamar-1, completed in May 2014 - captured extensive geological and
petrophysical information on the Kechoula structure. They helped define
the presence of natural gas in the targeted Lower Liassic formation and
the Lower Dogger/Upper Liassic formations. These promising results have
set the foundation for the planning and evaluation we currently have
underway to continue our appraisal work, and we are now sharpening our
focus in Morocco on the Sidi Moktar licence where we hold a 50 percent
operated interest. In order to capture the opportunity of our Sidi
Moktar exploration, we have initiated commercial and regulatory
discussions to transfer our minority interests in the Tarfaya onshore
licence and the Sidi Moussa offshore licence to our partners. Our
brightest geological opportunities and largest economic interests are
in Sidi Moktar, and that's where we will concentrate our geological and
financial resources in Morocco," said Thomas Feuchtwanger, PetroMaroc's
Chief Executive Officer.
"We have a vision to become the leading hydrocarbon producer in Morocco,
which has an attractive and unfulfilled market for new domestic energy
supplies. We are applying disciplined, well-proven technologies and
risk-management practices to create long-term value from natural gas
and oil for our shareholders and the people of Morocco," Feuchtwanger
PetroMaroc ended the second quarter with cash of US$6.6 million and is
now pursuing a series of financing initiatives with investors to raise
new capital to fund current operational commitments and to fund
additional evaluation of the Company's Sidi Moktar licence.
PetroMaroc today filed its financial statements and management's
discussion and analysis for the quarter ended June 30, 2014. These
documents are available on the PetroMaroc website at www.petromaroc.co or under the Company's profile on SEDAR at www.sedar.com.
Cash position as at June 30, 2014, of US$6.6 million (US$3.2 million as
at March 31, 2014).
Working capital surplus as at June 30, 2014, of US$1.3 million (US$2.8
million working capital deficit as at March 31, 2014).
Intends to obtain further near-term capital before the end of 2014 in
order to meet both current and future operational commitments.
Sidi Moktar onshore:
The Kamar-1 well was drilled to a final total depth of 2,790 metres and
intersected two distinct gas-bearing intervals. One is in the targeted
Lower Liassic natural gas zone and has a gross interval of 110 metres
as defined by petrophysical, wireline logs. The other is defined by the
presence of significant natural gas volumes in the drilling mud within
the Lower Dogger/Upper Liassic zone, which occurs over a gross interval
of approximately 100 metres.
Following the Kamar-1 well, the Company outlined plans to appraise the
potential of the Sidi Moktar licence. These initiatives, highlighted in
PetroMaroc's recent corporate investor presentation, are subject to
successful financing, and may include:
Testing and evaluating the existing wells and data
Acquiring 3D seismic over the Kechoula structure
Drilling two or three additional delineation and appraisal wells on the
Sidi Moussa offshore:
PetroMaroc has been advised that the operator, Genel Energy plc (Genel),
spudded the Nour-1 exploration well on July 30, 2014. The well, located
approximately 60 kilometres off the west coast of Morocco in
approximately 990 metres of water, is anticipated to take between 60
and 90 days to complete operations.
Prior to reaching the primary target Middle Jurassic platform carbonate
unit, and secondary target Upper Jurassic reefal carbonates, the
Company entered formal discussions with the operator and partners to
transfer its 1.5% working interest in the Sidi Moussa licence.
During the quarter, PetroMaroc successfully transferred its 22.5%
working interest to the operator of this licence. PetroMaroc will not
be liable for the $1.5 million penalty previously accrued, which
followed the operator's decision not to drill one exploration
commitment well by April 2014. Completion of this transaction is
subject to the final approval by the Ministry of Energy.
PetroMaroc is an independent oil and gas company focused on its
significant land position in Morocco. The Company has a 50 percent
operated interest in the Sidi Moktar licence area covering 2,683 square
kilometres and is working closely with Morocco's National Office of
Hydrocarbons and Mines (ONHYM) as a committed long-term partner to
unlock the hydrocarbon potential of the region. Morocco offers a
politically stable environment to work within and has favourable fiscal
terms to energy producers. PetroMaroc is a public company listed on the
TSX Venture Exchange under the symbol "PMA".
Additional information about the Company can be found at www.petromaroc.co and under the Company's SEDAR profile at www.sedar.com.
Special Note Regarding Forward Looking Statements
This press release contains forward-looking statements. Such
forward-looking statements relate to future events or the Company's
future performance. All statements other than statements of historical
fact are forward-looking statements. Forward-looking statements are
often, but not always, identified by the use of words such as "may",
"will", "should", "expect", "plan", "anticipate", "believe",
"estimate", "predict", "project", "potential", "targeting", "intend",
"could", "might", "continue" or the negative of these terms or other
similar terms. Forward-looking statements in this press release
include, but are not limited to, statements regarding the completion of
evaluations and processing and interpretation of data, the performance
characteristics of the Company's oil and gas properties, capital
expenditure programmes, supply and demand for oil, gas and commodities,
prices for oil and gas, drilling plans, and realization of the
anticipated benefits of acquisitions.
Forward-looking statements are only predictions. Forward-looking
statements involve known and unknown risks, uncertainties and other
factors that may cause actual results or events to differ materially
from those anticipated in such forward-looking statements. Some of the
risks and other factors which could cause results to differ materially
from those expressed in the forward-looking statements contained in
this press release include, but are not limited to: general economic
conditions in Canada, the Kingdom of Morocco and globally; industry
conditions, including fluctuations in the price of oil and gas,
governmental regulation of the oil and gas industry, including
environmental regulation; fluctuation in foreign exchange or interest
rates; risks inherent in oil and gas operations; political risk,
including geological, technical, drilling and processing problems;
unanticipated operating events which could cause commencement of
drilling and production to be delayed; the need to obtain consents and
approvals from industry partners, regulatory authorities and other
third-parties; stock market volatility and market valuations;
competition for, among other things, capital, acquisitions of reserves,
undeveloped land and skilled personnel; incorrect assessments of the
value of acquisitions or resource estimates; any future inability to
obtain additional funding, when required, on acceptable terms or at
all; credit risk; changes in legislation; any unanticipated disputes or
deficiencies related to title matters; dependence on management and key
personnel; and risks associated with operating in and being part of a
Although the forward-looking statements contained in this press release
are based upon factors and assumptions which management of the Company
believes to be reasonable, the Company cannot assure that actual
results will be consistent with its expectations and assumptions. Undue
reliance should not be placed on the forward-looking statements
contained in this news release as there can be no assurance that the
plans, intentions or expectations upon which they are based will occur.
These statements speak only as of the date of this press release, and
the Company does not undertake any obligation to publicly update or
revise any forward-looking statements except as expressly required by
applicable securities laws.
Neither the TSX Venture Exchange nor its Regulation Services Provider
(as that term is defined in policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this release.
This news release does not constitute an offer to sell or a solicitation
of an offer to buy any securities of PetroMaroc in any jurisdiction in
which such offer, solicitation or sale would be unlawful. The
securities referred to herein have not been and will not be registered
under the United States Securities Act of 1933 (the "U.S. Securities
Act") or any state securities laws and may not be offered or sold
within the United States or to U.S. Persons (as defined in the U.S.
Securities Act) unless registered under the U.S. Securities Act and
applicable state securities laws, or an exemption from such
registration is available.
SOURCE: PetroMaroc Corporation plc
For further information:
Chief Financial Officer and Secretary
Tel: +44 203 137 7756