Note that the 'Consultants' have different aims for the 2 Tz projects.
QUARTERLY REPORT For the Quarter Ended 30th September 2009. Published 30/10/2009 OFFSHORE TANZANIA West Songo Songo Block (Key 50.0% via its subsidiary Funguo Petroleum Pty Ltd) "The West Songo Songo location has a strategic advantage over areas further east in the greater Songo Songo area, by virtue of being closer to the head of the (larger) onshore pipeline. With this in mind the company contracted the engineering group, AGR to study the feasibility and cost of constructing production facilities and undertaking well tie back to take advantage of the permit location. The scope of work for this was based around maintaining minimal cost and an ability to fast track development. The report has provided the joint venture with a number of scenarios for producing and transporting produced gas or oil which it is now reviewing. The company has also been reviewing the liquids potential of the permit as it believes a successful oil find in the area would prove to be very beneficial to the local economy as well as joint venture partners."
QUARTERLY REPORT For the Quarter Ended 30th June 2009. Published 28/07/2009 OFFSHORE TANZANIA Nyuni Block ( Key 20.0% ) "Kiliwani North #1 - Commercialisation Process – The Joint Venture continues with its plans to commercialise the Kiliwani North #1 gas discovery. A specialist negotiator was recently engaged by the Joint Venture for the process to continue and assist in efforts to negotiate terms and conditions with the various government departments and potential clients. As an aid to the negotiators, a full market review has been completed which now provides the Joint Venture with a clearer understanding of the markets for gas, both in the growing region of Dar es Salaam but also in and around the country where there is an ever growing demand for electricity and gas. There has also been a recent announcement that funding has been approved for a feasibility study to be undertaken to determine if the gas pipeline, that currently terminates in Dar es Salaam, would be an economic option if it were extended to Mombasa in Kenya."
The reference to "...funding has been approved.." is Governmental not KEY or the Group.
Emphasis has been added.
KEY Price at posting:
10.8¢ Sentiment: Buy Disclosure: Held
(20min delay)
