BG Group Plc (BG) and Ophir Energy Plc (OPHR) made a fourth gas
discovery in Tanzania, increasing reserves closer to levels that will justify
two liquefied natural-gas (LNG) production plants.
LNG is gas that’s chilled to a liquid for transport by ship.
The Jodari-1 exploration well indicated gross recoverable resources in
the range of 2.5 to 4.4 trillion cubic feet, the companies said in statements
in London. That brings results from all four of their wells drilled in Tanzania
close to 7 trillion cubic feet.
 |
| BG assets in Tanzania |
The result “has materially exceeded pre-drill estimates and represents
the largest discovery in Ophir’s history,” Ophir’s Chief Executive Officer Nick
Cooper said. The find is “a major step closer to the second LNG train.”
Ophir jumped as much as 9.5 percent in London trading and was at 438.7
pence as of 8:07 a.m. local time. BG added 1 percent to 1,507 pence.
Explorers are seeking gas in east African waters to supply LNG to India
and China, the world’s fastest growing major economies. Ophir, which counts the
Mittal family and New York hedge fund Och-Ziff Capital Management Group LLC
among its largest investors, says it’s seeking partners to drill in other
licenses off Tanzania.
Ophir and BG will now return the Metro-1 drillship to the Mzia-1 well,
which is targeting 4.6 trillion cubic feet of gas.
Source: BloombergBusinessweeks, www.businessweek.com, reported by Brian Swint in London
0 comments :
Post a Comment