Tiny Sirius Eyes Nigeria CNG
AIM-listed niche Nigeria explorer Sirius Petroleum said April 22 it has received an updated reserves report for its shallow water field there and a suggested gas commercialisation strategy. The company is applying to Nigeria’s petroleum ministry to have its 40% interest in Ororo legally ratified.
Independent petroleum consultants, Rockflow Resources, conducted a subsurface analysis for Sirius of the Ororo Field located in OML 95 which reported a gross ‘mid case’ of 7.65 bbls liquids and 17.13mn boe gas (99.34bn ft3) of recoverable volumes initially in place. Rockflow’s ‘high case’ for liquids (20.48mn bbls) exceeded a high case previously given by Schlumberger by 59%, Sirius noted.
Sirius CEO Bobo Kuti said Rockflow’s report was “an important precursor to attracting the necessary funding.” However Sirius' operating loss in January-June 2015 was $1.56mn, against a 1H2014 loss of $1.39mn and a full-year 2014 loss of $4mn.
Based on Rockflow’s ‘mid to high’ range for gas (99.34bn to 133.95bn ft3) at Ororo, Sirius said the potential exists to develop a “simple containerised Marine Compressed Natural Gas (CNG) solution” for delivery onshore for sale, in addition to earning revenues from oil and natural gas liquids. Developing CNG would reduce also the need to flare gas during early testing.
Sirius noted that the well permit for its Ororo 2 well is due to expire on April 26, although it said it was confident that the permit would be renewed – but after the deadline.
Elsewhere UK independent Bowleven said April 22 it had been awarded a one-year extension to the existing Bomono exploration licence, onshore Cameroon, pending the final award of an Exploitation Authorisation (EA). It said this interim extension award ensures that Bowleven's interest in the acreage is maintained while dialogue with the Cameroon authorities on its EA application.
Mark Smedley