Mart Resources Inc MAUXF

oil is flowing through the new pipeline

[wallywill]

The new pipeline has officially opened and oil is now flowing. Mart Resources says second export route from Umusadege now open 11:50 am by John Harrington 'The commencement of oil flowing through the Umugini pipeline is a significant milestone for Mart,' said Mart's boss, Wade Cherwayko. "The commencement of oil flowing through the Umugini pipeline is a significant milestone for Mart," said Mart's boss, Wade Cherwayko. Mart Resources (TSE:MMT) is celebrating a major milestone, as oil has started to flow through the Umugini pipeline into the Trans Forcados pipeline. The Umugini pipeline opens up a second export route for Mart's Umusadege oil field in Nigeria, and is expected to enable Mart and its joint venture partners to significantly ramp up the field's production and to accommodate future production increases including from the recently drilled horizontal wells. The use of multiple delivery and export routes is expected to result in an improvement in export flexibility and a reduction in pipeline disruptions. Full transport capability of the Umugini pipeline is expected to be reached in the first quarter of 2015. The commencement of continuous oil injections from the 12-inch Umugini pipeline to the Trans Forcados export pipeline, which connects to the Forcados oil export terminal, followed the completion of a pipeline tie-in at the Eriemu flow station and other start-up activities including line fill. Mart holds an effective 15% interest in the Umugini Asset Company Limited, which is the owner of the Umugini pipeline. Mart and its joint venture partners intend to gradually increase the volume of oil delivery through the Umugini pipeline in order to regulate Umugini pipeline start-up operations and optimize production from the Umusadege field. The Umugini pipeline has an initial estimated gross export capacity of 45,000 barrels of oil per day, and the Umusadege field has been allocated around three-quarters of this. The nomination, loading and sale of oil from the Umusadege field are expected to commence in the next 30 days, Mart revealed. "We are very pleased that the Umugini pipeline is now up and running, and look forward to having the capacity to increase production from the Umusadege field to significantly higher volumes in the near future," said Mart's boss, Wade Cherwayko. Shares of Mart surged over 30 percent to 91 Canadian cents in Toronto on Wednesday, rising to as high as 95 cents earlier in the session.