Press Release
26 April 2001
DANA PETROLEUM PLC
("Dana" or "the company")
DANA SECURES THREE MAJOR LICENCES OFFSHORE KENYA
Dana Petroleum is pleased to announce the approval by the Kenyan Minister of Energy of an agreement to explore three new Production Sharing Contracts ('PSCs') offshore Kenya, East Africa. Dana will hold an 80% interest and be licence operator. Star Petroleum International (Kenya) Limited will hold a 20% interest.
This acreage covers Blocks L5, L7 and L10, with an area of approximately 35,000 square kilometres, representing more than half of Kenya's licenced offshore territory. Dana has agreed to contribute US$300,000 towards past costs associated with these licences and finance the early stages of exploration.
Each PSC requires completion of initial technical studies, after which the co-venturers can elect to acquire new seismic and carry out exploration drilling. Existing seismic data indicates the presence of a number of significant geological structures in the unexplored deeper-water areas. Several old onshore and shallow-water wells drilled in the region encountered hydrocarbon shows, confirming the presence of an active petroleum system. Reprocessing of existing seismic data using modern techniques and satellite oil seep studies are already underway.
Dana's Chairman, Charles M Smith CBE, commented:
"Kenya fits well with Dana's strategy of early entry into large and attractive new exploration regions, ahead of the majors. These latest licences further strengthen the Company's position as one of the leading independent oil players offshore Africa"
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Enquiries: |
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Dana Petroleum plc |
Tel: 020 7457 2020 (today) Tel: 01224 652400 (thereafter) |
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| College Hill Associates Peter Brookes Archie Berens |
Tel: 020 7457 2020 | |
Notes to Editors
Dana Petroleum plc listed on the London Stock Exchange in 1996 and is one of the UK's leading independent oil and gas companies.
Dana is focused on high-impact exploration in proven petroleum systems. The Company has built oil and gas reserves of over 100 million barrels, and has made an impressive seven oil and gas discoveries with its last eight wells drilled, in the North Sea, Indonesia and West Africa. These finds will lead to further increases in reserves as they are appraised.
Dana's current portfolio of assets includes over 60 oil and gas interests balanced across four geographic areas, but with a strong focus on Europe (UK, Netherlands) and Africa (Ghana, Mauritania, Ivory Coast).
