UNX Cites Prospective Resources for PEL 2815, 2813
UNX announced that at the Company's request, DeGolyer and MacNaughton of Dallas, Texas, ("D&M") have completed Prospective Resources Evaluation Reports (the "D&M Reports") for UNX's Petroleum Exploration License ("PEL") 2815 which encompasses blocks 2815, 2816, and 2915, and PEL 2813. The Report for PEL 2813 is confined to the additions attributable to the Moosehead oil prospect that is on Block 2813A. Both D&M Reports were prepared in accordance with National Instrument 51-101 ("NI 51-101"), Sections 5.9 standards for review and assessment of prospective resources and is dated January 31, 2011.
"The new independent prospective resource reports were anticipated and continue to confirm management's expectations regarding the potential of these blocks," said Mr. Gabriel Ollivier, President and CEO of UNX Energy. "The results reinforce our decision, as announced on February 24, 2011, to align ourselves with HRT Participações em Petróleo S.A., a highly respected company with the financial resources and technical expertise to fully exploit the potential of UNX's Namibian assets. In addition to delivering an immediate and significant premium to our shareholders, the proposed transaction provides our shareholders with the opportunity to participate in the upside of both UNX's assets and HRT's exciting prospects in Namibia and Brazil."
"The Reports are a result of the efforts of UNX to define drilling opportunities and potential resources in the Orange Basin," said Mr. Knowledge Katti, Director and Namibian representative of UNX. "Through the proposed consolidation of assets with HRT, we are again reinforcing our strong commitment to all of our Namibian stakeholders to realize an independent energy future that will contribute to Namibia's great economic future."
The prospective resources identified in the 2813 license area are confined to the extension of the large Moosehead oil prospect which extends onto the northern portion of Block 2813A from Block 2713A, the latter block being in the PEL 2713 contract area. The partners constituting PEL 2813 continue to assemble data on the contract area, and expect to issue an independent resource update in the second half of 2011 for the entire contract area, which is comprised of the 2813A, 2814B, and 2914A blocks. UNX has a 40% working interest in PEL 2813 with its existing partners HRT Participações em Petróleo S.A. (HRTP3:BZ)("HRT"), the designated operator with a 40% working interest, and Acarus Investments (Proprietary) Ltd., a local Namibian company with a 20% interest.
In summary with the addition of the two new prospective resource reports the overall Pg unadjusted prospective resources to-date for the Company are 25.7 (20.6 net) billion BOE and on a Pg adjusted basis the gross mean prospective resources are 5.3 (4.5 net) billion BOE.
Estimates of the prospective resources have been prepared by D&M, an independent international petroleum consulting firm registered in the State of Texas. The report has been prepared in accordance with Sections 5.9 of NI 51-101, and is based upon D&M's review of technical data including geology, geophysics and reservoir parameters.