ECO-ATLANTIC - RESERVE UPDATE REPORTWould recommend for CGX shareholders to download Eco-Atlantic's reserve reports which has been posted on SEDAR today. Contents thereof provide justification for increasing reserve estimates - specifically the identification of new tertiary propspects analogous to Hammerhead on the Orinduik Block.
Of signifcance is the 'Joe' prospect which seems to
straddle the Orinduik Block and CGX's Demerara Block. Furthermore, it seems Tullow has designed a well to not only test 'Joe' (tertary prospect) but also 'Rappu' which appears to be an upper cretaceous prospect. Both prospects (Rappu and Joe), as outlined in the reserve report,
appear to straddle CGX's Demerara Block!!! Tullow has yet announced what their second drill prospect will be - but, its possible the Joe/Rappu prospects could be drilled / tested after Jethro.
- Joe prospect is listed as having a 43.2% chance of success with a P50 gross unrisked resource of 150mmboe.
- Rappu prospect is listed as having a 25.2% chase of success with a pP50 gross unrisked resource of 535mmboe.
The independent reserve report also has an increased probability of success given Exxon's ongoing track record and play opening tertiary discovery (i.e. hammerhead).
All positive for CGX shareholders - it would seem. The announcements of new prospects that are shown to overlap into CGX licenses. Moreover, the continued announcement of major commerical discoveries (by Exxon) that are just miles away from CGX concenssions...