Wentworth Resources Plc Wentworth Resources Plc : Operational And Commercial Update.

 
TIDMWEN 
 
 
   PRESS RELEASE                                                   7 March 
2019 
 
   WENTWORTH RESOURCES PLC 
 
   ("Wentworth" or the "Company") 
 
   Operational and Commercial Update 
 
   Wentworth, the AIM (AIM: WEN) listed independent, East Africa-focused 
oil & gas company, is today providing an update to shareholders. 
 
   Mnazi Bay Operations 
 
   As part of the scheduled maintenance program of the Operator, a 
slick-line campaign is planned to commence towards the end of March 
2019.  It will include opening the sliding-sleeves of various well 
completions and acquiring static pressures in the Lower MB sand 
interval. 
 
   Opening sliding sleeves, which shut off or open flow from one or more 
reservoir zones, allows for more operational flexibility in the asset 
with regards sustaining plateau production.  The pressure monitoring of 
sands currently not flowing will further refine the Joint Venture 
understanding of both in-place and recoverable volumes in all intervals 
of the Mnazi Bay field. 
 
   Collectively, these operations will determine if sustained higher 
production rates can accommodate forward demand growth. 
 
   It is expected that demand will increase in H2 2019 and beyond due to an 
increase in demand from Dangote Cement Plant (from 15 MMscf/d to 35 
MMscf/d) and the Kinyerezi Power Complex realizing its full capacity. 
 
   Due to the operational activities outlined above, we expect that the 
average daily production rate will be limited to 70 MMscf/day from 11 
March 2019 until early April 2019. 
 
   Despite this reduced production, the onset of the rainy season in April 
through May 2019 and the scheduled maintenance of the power stations at 
the Ubungo Complex in Dar es Salaam, the Company is maintaining current 
guidance for 2019 average daily production of between 75 - 85 MMscf/day. 
 
 
   Commercial 
 
   Monthly payments in January and February 2019 for gas sales generated 
from the Mnazi Bay Concession of, in aggregate, $3.2 million net to 
Wentworth, have been received. These payments are post allocation of the 
Tanzania Petroleum Development Corporation ("TPDC") receivable, adjusted 
to reflect the Ziwani-1 exploration well and associated 3D seismic costs 
as previously announced. Payments were received from both TPDC and 
Tanzania Electric Supply Company Limited ("TANESCO") and due arrears 
from both off-takers remain at three months, having steadily reduced 
during the course of 2018. 
 
   As a result of the continued demand and sustainable payment landscape, 
the Company continues to meet and pay-down its debt commitments from 
free cash-flow in 2019 and expects to be debt free with the final 
payment on its single outstanding loan facility falling due in January 
2020. 
 
   Corporate Presentation 
 
   In addition, the Company has published a corporate presentation 
"Tanzanian Onshore Gas: Poised for Growth in a Demand Led Landscape" to 
be presented today at the APPEX conference in London, available at the 
Company's website www.wentplc.com. 
 
   -Ends- 
 
 
 
 
Enquiries:                        Eskil Jersing,                      [e-mail] 
 Wentworth                         Chief Executive Officer             [phone] 
                                   Katherine Roe,                      [e-mail] 
                                   Chief Financial Officer             [phone] 
 
  Stifel Nicolaus Europe Limited    AIM Nominated Adviser and Broker    [phone] 
                                    Callum Stewart 
                                    Ashton Clanfield 
                                    Simon Mensley 
 
  Peel Hunt LLP                     Broker                              [phone] 
                                    Richard Crichton 
                                    Ross Allister 
 
  Vigo                              Investor Relations Adviser          [phone] 
                                    Patrick d'Ancona 
                                    Chris McMahon 
 
 
   About Wentworth Resources 
 
   Wentworth Resources is a publicly traded (AIM: WEN), independent oil & 
gas company with natural gas production; exploration and appraisal 
opportunities in the Rovuma Delta Basin of coastal southern Tanzania. 
 
   Inside Information 
 
   This announcement does not contain inside information. 
 
   Cautionary note regarding forward-looking statements 
 
   This press release may contain certain forward-looking information. The 
words "expect", "anticipate", believe", "estimate", "may", "will", 
"should", "intend", "forecast", "plan", and similar expressions are used 
to identify forward looking information. 
 
   The forward-looking statements contained in this press release are based 
on management's beliefs, estimates and opinions on the date the 
statements are made in light of management's experience, current 
conditions and expected future development in the areas in which 
Wentworth is currently active and other factors management believes are 
appropriate in the circumstances. Wentworth undertakes no obligation to 
update publicly or revise any forward-looking statements or information, 
whether as a result of new information, future events or otherwise, 
unless required by applicable law. 
 
   Readers are cautioned not to place undue reliance on forward-looking 
information. By their nature, forward-looking statements are subject to 
numerous assumptions, risks and uncertainties that contribute to the 
possibility that the predicted outcome will not occur, including some of 
which are beyond Wentworth's control. These assumptions and risks 
include, but are not limited to: the risks associated with the oil and 
gas industry in general such as operational risks in exploration, 
development and production, delays or changes in plans with respect to 
exploration or development projects or capital expenditures, the 
imprecision of resource and reserve estimates, assumptions regarding the 
timing and costs relating to production and development as well as the 
availability and price of labour and equipment, volatility of and 
assumptions regarding commodity prices and exchange rates, marketing and 
transportation risks, environmental risks, competition, the ability to 
access sufficient capital from internal and external sources and changes 
in applicable law. Additionally, there are economic, political, social 
and other risks inherent in carrying on business in Tanzania and 
Mozambique. There can be no assurance that forward-looking statements 
will prove to be accurate as actual results and future events could vary 
or differ materially from those anticipated in such statements. See 
Wentworth's Management's Discussion and Analysis for the year ended 
December 31, 2017, available on Wentworth's website, for further 
description of the risks and uncertainties associated with Wentworth's 
business. 
 
   Notice 
 
 
 
   The AIM Market of the London Stock Exchange has not reviewed this press 
release and does not accept responsibility for the adequacy or accuracy 
of this press release. 
 
   Operational and Commercial Update: 
http://hugin.info/136496/R/2237627/881544.pdf 
 
   This announcement is distributed by West Corporation on behalf of West 
Corporation clients. 
 
   The issuer of this announcement warrants that they are solely 
responsible for the content, accuracy and originality of the information 
contained therein. 
 
   Source: Wentworth Resources Plc via Globenewswire 
 
 
  https://www.wentplc.com 
 

(END) Dow Jones Newswires

March 07, 2019 02:00 ET (07:00 GMT)

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