Knowlton Capital Inc. - Leni Gas Cuba Limited provides update on oil and gas investments regarding MEO Australia Limited's Beehive Prospect, Bonaparte Basin, Australia

MONTREAL, June 2, 2016 /CNW Telbec/ - Knowlton Capital Inc. ("Knowlton") (TSX-V: KWC‑H) announced on April 29, 2016 that it had entered into a letter of intent with Leni Gas Cuba Limited ("LGC") for a reverse take-over of Knowlton by LGC and provided an update on the reverse take-over on May 27, 2016.  Knowlton wishes to advise its shareholders that LGC issued the annexed press release today regarding MEO Australia Ltd., one of its portfolio companies.

Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

The annexed press release was issued by LGC.  Knowlton has not made any independent inquiries as to its accuracy or completeness and assumes no responsibility for the contents thereof.

Completion of the reverse take-over between Knowlton and LGC is subject to a number of conditions, including TSX Venture Exchange acceptance and disinterested shareholder approval.  The reverse take-over cannot close until the required shareholder approval is obtained.  There can be no assurance that the reverse take-over will be completed as proposed or at all.  Investors are cautioned that, except as disclosed in Knowlton's management information circular to be prepared in connection with the reverse take-over, any information released or received with respect to the reverse take-over may not be accurate or complete and should not be relied upon.  Trading in the securities of Knowlton should be considered highly speculative.

MEDIA RELEASE

Leni Gas Cuba Limited
("LGC" or the "Company")

Update on Oil and Gas Investments

Significant Potential at MEO's Beehive Prospect, Bonaparte Basin, Australia

London, Havana: 2 June 2016:  London listed Cuban specialist investment company, Leni Gas Cuba Limited is pleased to announce that its 15.8% owned Australian and Cuban oil and gas explorer, MEO Australia Limited ("MEO"), has today provided a significant update on its 100% owned shallow water Beehive prospect in Western Australia's Bonaparte Gulf Basin.

David Lenigas, Leni Gas Cuba's Executive Chairman, said;

"Although our main interest in MEO Australia is for its significant exposure to the Cuban oil and gas sector through its 2,380 km2 onshore Block 9 licence due east of Havana, this news highlights the additional significant long term potential of its other oil and gas assets in Australia."

"MEO now indicates that the Beehive prospect, in the shallow waters off the north-west coast of Western Australian has a multi-billion barrel potential and we look forward to further significant developments on this asset in the near future."

The full MEO Australia Limited news release (with maps and diagrams) is available on their website at http://www.meoaustralia.com.au

The MEO news release, as released on the Australian Stock Exchange today, states:

"ASX & Media Release

Multi-Billion Barrel Potential of Beehive Prospect Supported by New Reprocessing and Inversion Studies

MELBOURNE, AUSTRALIA (2 June, 2016)

Key Points:

  • Substantial enhancement to data quality from completed seismic reprocessing and inversion study over Beehive prospect (WA-488-P, MEO 100%)
  • Reprocessing and inversion studies support that Beehive is one of the largest undrilled hydrocarbon prospects in Australia – with multi-billion barrel potential
  • New data very encouraging, providing strong support to key elements of Beehive prospect
  • Renewed farmout effort anticipated in second half of 2016

MEO Australia Limited ("MEO") (ASX: MEO) advises that the seismic reprocessing and inversion study over the Beehive prospect in WA-488-P (MEO 100%) has now been completed, with very encouraging results.

The seismic inversion results have reinforced the interim reprocessing results (see ASX announcement 14 April 2016) and have enhanced the understanding of the Beehive reservoir and seal units, providing additional confidence regarding the nature of the Beehive prospect.

Beehive is potentially a multi-billion barrel, dual objective, oil prone prospect in the Bonaparte Basin located in 40m water depth next to the producing Blacktip field.

The Carboniferous age objective is a carbonate build up with 400m of mapped vertical relief, analogous to the giant Tengiz field in the Caspian Basin. This play type is new and undrilled in the Bonaparte Basin.

Beehive is defined by a tight grid of pre-existing 2D seismic data, which MEO has reprocessed in order to further de-risk the prospect.

Even prior to the recent reprocessing results the Beehive prospect was characterised as having significant prospective resources as outlined in the following table:

Prospective Resources - Recoverable:

 

Beehive Prospect

 COS 

Low

Best

Mean

High







Carboniferous Objective (MMboe)

16%

97

558

940

2,033







Ordovician Objective (MMboe)

8%

63

305

534

1,220

 

Prospective Resources Cautionary Statement: The estimated quantities of petroleum that may potentially be recovered by the application of a future development project(s) relate to undiscovered accumulations. These estimates have both an associated risk of discovery and a risk of development. Future exploration appraisal and evaluation is required to determine the existence of a significant quantity of potentially moveable hydrocarbons.

The seismic reprocessing and inversion undertaken by MEO over the Beehive prospect provides stronger evidence to support key elements of the Beehive prospect, in particular that the primary reservoir is a Carboniferous carbonate build up and that the overlying seal is a bland, shale prone sequence capable of trapping any hydrocarbons in the substantial structure have been retained.

MEO Managing Director & CEO Peter Stickland commented:

"The Beehive prospect is one of the largest hydrocarbon structures in Australia. Results from the reprocessing and inversion of seismic data across the Beehive prospect have exceeded our expectations. This study has generated multiple data sets, with a dramatic improvement in data quality.

All of the products are pointing in the same positive direction and strengthen our understanding of the likelihood of good reservoir and seal characteristics, which are key elements of the Beehive interpretation. MEO will now proceed to update its risk analysis and characterisation of the Beehive prospect and then seek a farmin partner to fund further exploration of the prospect."

The information that relates to Contingent Resources and Prospective Resources for MEO is based on, and fairly represents, information and supporting documentation compiled by Peter Stickland, the Managing Director and Chief Executive Officer of MEO. Mr Stickland B.Sc (Hons) has over 25 years of relevant experience, is a member of the European Association of Geoscientists & Engineers and the Petroleum and Exploration Society of Australia, and consents to the publication of the resource assessments contained herein. The Contingent Resource and Prospective Resource estimates are consistent with the definitions of hydrocarbon resources that appear in the Listing Rules. Conversion factors: 6 Bscf gas equals 1 MMboe; 1 bbl condensate equals 1 boe."

The directors of Leni Gas Cuba Limited accept responsibility for this announcement.

 

For further information, please contact:

 

Leni Gas Cuba Limited

www.lenigascuba.com

David Lenigas, Executive Chairman

Anthony Samaha, Finance Director

Tel: +44 (0) 20 7440 0640

 

 

 



Beaumont Cornish Limited- ISDX Corporate Adviser

Roland Cornish

James Biddle

Tel: +44 (0) 20 7628 3396

 



Optiva Securities Limited- Broker

Christian Dennis

Jeremy King

Tel: +44 (0) 20 3137 1902

 

 

 



Square1 Consulting

David Bick

Brian Alexander

Tel: +44 (0) 207 929 5599

Notes To Editors:

Leni Gas Cuba Limited is currently listed in London and is one of the few public listed companies globally whose prime purpose is investing directly in the fast growth Cuban economy.

The Company has significant shareholdings in well established businesses operating in the Cuban travel, events, TV and film production support, Human Resources, Cultural, Import & Export and oil and gas exploration sectors.

Current Leni Gas Cuba Investments are as follows:

  • 40% of Travelwelcome and inCloud9 Travel Group, a bespoke Cuban travel, events management, TV and film production assistance group.
  • 15.8% of MEO Australia Limited ("MEO"), an Australian-listed Cuban oil and gas explorer which owns the large and highly prospective onshore Block 9 east of Havana. LGC is MEO's largest single shareholder.
  • 15% of Petro Australis Limited, an Australian un-listed Cuban and oil and gas explorer which has certain back-in rights to 40% of MEO's Block 9 and is undertaking other oil and gas activities in Cuba.
  • 50% of an imports and exports joint venture with Groombridge Trading Corporation ("GTC"), a Cuban-centric trading company
  • 49% of Cuba Professionals Inc, a Cuban talent management and services company.
  • 50% interest in the Rushmans Lenigas Cuba Joint Venture for sport.
  • Joint venture with Commercial Funded Solar Ltd to assess the potential of installing and operate renewable energy and hybrid power solutions (solar power, energy storage and integrated power management systems) in Cuba.

 

SOURCE Knowlton Capital

For further information: Rafi Hazan, Chief Financial Officer, Knowlton Capital Inc., Tel: (514) 839-7234

Organization Profile

Knowlton Capital

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890