Artumas Group Inc. ("Artumas") is pleased to provide a summary of the Rose & Associates assessment of the resource potential of the Mozambique Rovuma Offshore Block One and associated economic value of Artumas' 8.5% net participating interest in the Offshore Block. This assessment was conducted at the sole request of Artumas and independent of partners, Anadarko Petroleum Corporation ("Anadarko") and the Republic of Mozambique's national oil company, Empresa Nacional de Hidrocarbonetos (ENH).
Highlights from the report are as follows:
- For the seven-well exploration drilling work program commitment on Offshore Block One, there is an 18% chance of one or more commercial successes based on oil migration into Tertiary aged prospects from late Cretaceous and early Tertiary aged oil-prone source rocks alone. In the success case, Artumas' 8.5% net participating interest yields P90 reserves of 62 million barrels (MMbbls) of crude oil, P10 reserves of 232 MMbbls and an average of 140 MMbbls net to Artumas.
- Success case net present values (discounted at 10%) of Artumas' 8.5% net participating interest range from a P90 of US$215 MM to a P10 of US$1460 MM with an average of US$714 MM net to Artumas. Based on exploration costs net to Artumas of US$39 MM, the expected value of Artumas 8.5% net participating interest share of the Offshore Block exploration program alone is US$ 96 MM.
For full press release, please see attached document.
