Kiliwani North 1 Well Set for production starting mid-February

Aminex has informed its shareholders the Tanzanian Petroleum Development Corporation has advised Kiliwani North-1 well could start production in mid February and is currently undergoing final well integrity testing prior to first production.

This development follows the signing of a Gas Sales Agreement (GSA) in January which saw the gas price agreed of $3.00 per mmBTU, approximately $3.07 per mcf, is indexed-linked to the US CPI and not reliant on global oil prices.

The Company will be paid in US Dollars for all produced gas including commissioning and testing gas.

Initial production rates will be managed to allow for testing and commissioning of the recently completed gas processing plant and pipeline, while recording critical pressure and flow rate measurements to determine the optimal flow rate to maximize the life of the reservoir.

Senergy has ascribed 28 BCF contingent (2C) resources (gross) to Kiliwani North, which was contingent on completion of the GSA.

Aminex says it expects that the Company will be able to book its first reserves for its Tanzanian assets later this year.

“We are pleased to maintain our working interest in the Kiliwani project post signing of the Gas Sales Agreement and are looking forward to becoming a Tanzania gas producer. In addition to first production it is our belief that the Kiliwani North Development Licence will also represent the first bookable reserves for the Company in Tanzania and we look forward to updating the market in due course,” commented Aminex CEO Jay Bhattacherjee.

Solo holds an option to acquire a further interest in the Kiliwani North Development Licence.

Meanwhile Aminex says it continues to focus on appraising Ntorya where we have planned an exciting programme prior to applying for a 25 year development licence. Aminex is currently assessing alternative ways to monetise its gas in the Ruvuma PSA acreage, where we already have a commercial gas discovery at Ntorya-1, through an early production system.

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