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Australian owned Swala Energy Limited has announced that RISC Operations Pty Ltd an independent petroleum advisory firm, have completed their review of the resource potential of the Kito \u00a0prospect in the Kilombero Basin, located within the Kilosa- Kilombero licence in southern \u00a0Tanzania.<\/p>\n
Swala has an indirect 32.5% interest in the\u00a0 licence.\u00a0 \u00a0Net unrisked prospective resources allocated to the Swala indirect interest range from 12.5 million stock tank barrels (\u201cmmstb\u201d)(P90) to 110.5 mmstb (P10).<\/p>\n
The Kito prospect \u00a0was identified from the\u00a0 results of the\u00a0 recently-completed seismic survey that Swala Oil & Gas (Tanzania) Limited (\u201cSOGTL\u201d) and its joint venture partner, \u00a0Otto Energy (Tanzania) Pty Ltd (\u201cOtto\u201d) carried out over a 20km section of the 80km-long Kilombero Basin, as announced on the 8th \u00a0November 2013.<\/p>\n
Kito is sufficiently large to have been intersected by a sufficient number of seismic lines to enable a resource assessment to be performed.<\/p>\n
The estimated quantities of petroleum that may potentially be recovered by the application of a
\nfuture development project(s) relate to undiscovered accumulations. These estimates have both an
\nassociated risk of discovery and a risk of development. Further exploration, appraisal and evaluation
\nis required to determine the existence of a significant quantity of potentially moveable
\nhydrocarbons.<\/p>\n
In regards to Kilombero specifically the assessment found out that\u00a0the \u00a0presence \u00a0of a\u00a0thick, \u00a0Neogene-age\u00a0<\/span>basin \u00a0with \u00a0a \u00a0maximum \u00a0depth \u00a0to \u00a0basement\u00a0 \u00a0in excess \u00a0of \u00a03,000m. \u00a0The \u00a0age \u00a0of \u00a0the \u00a0sediments\u00a0recorded\u00a0 \u00a0(based\u00a0 \u00a0on\u00a0 \u00a0low appears\u00a0 \u00a0to\u00a0 \u00a0be \u00a0similar \u00a0to\u00a0seismic\u00a0 \u00a0velocities)\u00a0that\u00a0 \u00a0of \u00a0sediments\u00a0observed\u00a0 \u00a0in\u00a0\u00a0 the\u00a0 \u00a0now\u00a0 \u00a0proven\u00a0 \u00a0oil\u00a0 \u00a0basins \u00a0of Lokichar \u00a0(Kenya), \u00a0and\u00a0\u00a0 Lake \u00a0Albert \u00a0(Uganda), where Africa Oil \u00a0and Tullow Oil \u00a0 have \u00a0had \u00a0significant \u00a0success.<\/p>\n The Kilombero \u00a0Basin \u00a0is \u00a0approximately \u00a0100km \u00a0long\u00a0and \u00a0about\u00a0 \u00a020km \u00a0wide \u00a0and \u00a0is \u00a0comparable \u00a0in\u00a0length\u00a0\u00a0 \u00a0to\u00a0\u00a0 \u00a0the\u00a0\u00a0 \u00a0Lokichar\u00a0Basin\u00a0\u00a0 \u00a0in\u00a0\u00a0 \u00a0Kenya\u00a0(approximately 150km long and 25-30km wide). The 2014 work programme intends to add to the\u00a0joint venture\u2019s understanding of the unexplored\u00a0portions\u00a0\u00a0 \u00a0of\u00a0\u00a0 \u00a0the\u00a0\u00a0 \u00a0basin,\u00a0where \u00a0 additional\u00a0prospectivity against the basin bounding fault is expected.<\/p>\n \u201cWe are very pleased with the fact that the seismic work in Kilombero identified such a significant structure as Kito. We are also encouraged by the fact that, with only one quarter of the basin surveyed, additional leads that were not addressed in RISC\u2019s assessment, there remains considerable potential within the Kilombero basin that the joint venture will commence addressing in the coming year,\u201dsaid\u00a0Dr. David Mestres Ridge CEO Swala Energy.<\/p>\n [twitter-follow screen_name=’oilnewskenya’]<\/p>\n