Nu-Oil and Gas PLC Approval of Production Test Plan ? PL2002-01(A) (3516N)

TIDMNUOG

RNS Number : 3516N

Nu-Oil and Gas PLC

08 May 2018

08 May 2018

Nu-Oil and Gas plc

("Nu-Oil" or "the Company")

Approval of Production Test Plan - PL2002-01(A)

Nu-Oil is pleased to announce that the Department of Natural Resources ("DNR") has approved the programme for the production test (the "Test") at Enegi Oil Inc.'s ("Enegi") Garden Hill site in western Newfoundland. Enegi is the Company's wholly owned subsidiary.

PVF Energy Services ("PVF") is completing the clean-up of the well-tubing, undertaking any maintenance required to site facilities and performing routine pre-flow checks. The test, which is expected to last between 30 and 90 days, will begin when this preparation is concluded. Under the Production Sharing Agreement announced on 31 January 2017 all operations on site are undertaken and financed by PVF.

The Company looks forward the Test, which will be a significant milestone towards achieving the objective of restoring production from the PAP#1-ST#3 well (the "Well").

Alan Minty, Chairman of Nu-Oil, commented:

"PL2002-01(A) is leased to our subsidiary Enegi Oil Inc., which is working with PVF as they progress operations at Garden Hill. We believe that the field has significant value for the Company. We look forward to the production test, the results of which will be used by PVF as they finalise their plans for the wider development of the field. We continue our negotiations with PVF to agree a farm-out and we look forward to updating the market as and when an agreement is concluded."

Enquiries

 
 Nu-Oil and Gas plc 
 Simon Bygrave                          Tel: [phone] 
  Investor Relations & Communications 
 Nigel Burton                           Tel: [phone] 
  Chief Executive Officer 
 Strand Hanson Limited                  Tel: [phone] 
  Rory Murphy/Ritchie Balmer/Jack 
  Botros 
 Novum Securities Limited               Tel: [phone] 
 Jon Bellis 
 

Notes

The Company

Nu-Oil is a development and production company, which utilises appropriate development approaches to create value from undeveloped and mature oil and gas assets. Nu-Oil is building a portfolio of development and production assets with an emphasis on stranded and marginal discoveries which can be unlocked using cost-effective development solutions.

Nu-Oil targets thoroughly appraised fields located in basins with stable political and regulatory regimes. By doing so Nu-Oil minimises exposure to the risks associated with frontier plays, particularly exploration and appraisal risks.

Enegi Oil Inc.

Enegi Oil Inc., the Company's wholly owned subsidiary, is a private limited company registered in Canada through which the Company manages its Newfoundland assets. Enegi Oil Inc. owns 100% of Production Lease 2002-01(A) and Exploration Licence 1070.

Disclaimer

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR").

This information is provided by RNS

The company news service from the London Stock Exchange

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May 08, 2018 05:30 ET (09:30 GMT)