Mart to Participate in the Qua Iboe Field in Nigeria
|Monday, December 13, 2004
Mart Resources has signed a Memorandum of Understanding with Network Exploration & Production Nigeria Limited that grants Mart the right to participate with Network in the evaluation and development of the Qua Iboe Oil Field in Nigeria. The Qua Iboe Field is one of 24 oil fields located in Nigeria's Niger Delta region that have been granted to indigenous companies under Nigeria's marginal field allocation program. Fields allocated under this program have been delineated by prior drilling activity and supported by seismic analysis, but remain undeveloped.
The Qua Iboe Field was discovered in 1960 by the Qua Iboe-1 well, which encountered oil pay in sandstone reservoirs at depths of 3,600 feet and 7,000 feet. Field confirmation was provided by the Qua Iboe-2 well drilled in 1971, which penetrated the same oil-bearing sandstone reservoirs.
Mart is in the process of finalizing a detailed technical evaluation of the Qua Iboe Field from which the company will then formulate a field development program. Early development operations are likely to include re-entry and testing of the suspended Qua Iboe-2 well, with a follow-up drilling program. The field is located in close proximity to existing production facilities and export pipelines.
Mart's right to participate in the Qua Iboe Field is subject to the execution of a formal participation agreement with Network. Mart and Network have agreed to use their best efforts to finalize and execute this agreement by the end of January 2005.
Mart has previously signed agreements to participate in the development of two other marginal fields allocated under this program and is presently in negotiations to participate in additional fields.
Mart is an international energy company focused on developing oil, gas and power projects in West Africa.