Question about the Kunene projectDear gentlemen:
I´m new to the board, and trying to perform a due diligence of Energulf.
I have a question about the Kunene prospect in Namibia,as follows:
Excerpt from the Q4 2010 MD%A report:
As previously reported, EnerGulf elected not to participate in the testing program of the
4,698m to 4,748m interval and the Company is not in receipt of a copy of the
PetroAlliance report mentioned in the press statement. EnerGulf has not verified the
potential resource estimate and the estimate may not be compliant with NI 51-101.
Although the Company elected not to participate in the testing of the well, per the JOA,
the Company may elect to pay 100% of its share of the test’s costs it would have incurred
had it participated, and an additional sum of the same amount, to re-instate its pro rata
rights in a commercial discovery in the interval being tested. EnerGulf maintains a 10%
interest in Block 1711.
do you know why Energulf decided not to participate in the testing program? was there any disagreement with the JV partners? and do you know how much money Energulf needs to pay its share of the test costs, in order to re-instate its pro rata rights in a commercial discovery?