6 Novemeber 2017
Doriemus Plc
("Doriemus" or the
"Company")
Lidsey-X2
Production Well – Operations Update
Doriemus plc (Listed in Australia ASX:DOR and listed in London
NEX:DOR) (“Doriemus” or the “Company”), is pleased to
provide an update from Angus Energy Plc (the “Operator”) on the
drilling of its new Lidsey-X2 production well at the Lidsey Oil
Field, located at the southern edge of the UK’s onshore Weald
Basin, south of London.
The Operator of the Lidsey Oil Field, Angus Energy Plc, has
advised that:
“As per the Company’s guidance and news release dated
13 October 2017, geochemical analysis
of the Kimmeridge and Oxford layers at the Lidsey Oil Field were
undertaken to determine their commercial viability. The Company is
pleased to advise that the initial results conducted on the drill
cutting samples from the 66.2 metres of Kimmeridge and 105.0 metres
of Oxford layers indicate a strong similarity to the maturity of
the Kimmeridge layers at Brockham Field.
In terms of temperatures at the time of maximum burial, which is
an important factor in the generation of oil, the historical
temperatures were encouragingly higher than anticipated given the
location of the Lidsey Field in the Weald Basin. Indeed, analysis
of Tmax (maximum historical temperature seen by the rock) gave a
range which overlapped with those seen in Brockham and an average
temperature within 3 degrees (0.7 %) of those seen in Brockham. In
addition, the TOC (total organic content) was virtually the
same within experimental error.
The geochemical evaluations were performed by the same third
party organization that provided the same analysis on the drill
cuttings at Horse Hill and Brockham.
Further to the Company’s RNS of 13
October 2017, the BDF-28 drilling rig has now been fully
demobilised. The Lidsey-X2 well has been prepared for production
after completing the installation of the flowlines from the well
head to the storage tanks, pump and other necessary
equipment. The Company’s guidance for actual production has
been adjusted by seven days. After the trial operation of the pump
mechanism carried out last Friday, the pump experienced a minor
technical difficulty requiring repair and is currently being
repaired prior to the well going in to full service.
Angus Energy still expects to put Lidsey-X2 into full production
this week. The Company will perform testing to optimize production
rates and provide an update in due course.”
David Lenigas, Doriemus Plc’s
Executive Chairman, commented;
“The Operator is ready to bring the Lidsey Oil Field in to
production this week, a very significant milestone for Doriemus.
The revelation that the initial geochemical test results from the
Kimmeridge and Oxford are considered by Doriemus as providing
additional upside for Lidsey’s ultimate production potential,
especially considering that we have all the approvals in place for
a a re-work of the Lidsey-1 well and the drilling of a new Lidsey-3
well. The similarities of the Lidsey-X2 geochemical results to our
Brockham Oil Field BR-X4Z well in the north of the Weald Basin
shows that Lidsey has the potential to increase the footprint of
the oil bearing Kimmeridge layers in the Weald.”
About the Lidsey Production Oil Field
and Doriemius Plc’s Interest:
The Lidsey Oil Field is 5.3km2 in size and located in
the southern portion of the onshore UK Weald Basin in West Sussex south of London and next to Bognor Regis on the south
coast of England.
Doriemus Plc owns a 30% direct participating working interest in
the Lidsey-X2 production well, which is located within the onshore
Lidsey Oil Field (PL 241)(Production Licence) under the rights it
has under the 21 November 2013
Farm-Out Agreement. The Lidsey Oil Field is operated by Angus
Energy Plc. In respect of all other wells on the Lidsey Oil Field,
Doriemius has a 20% participating interest and contribution to
capital costs will be 20%.
COMPETENT PERSONS STATEMENT:
Pursuant to the requirements of the
ASX Listing Rules Chapter 5 in Australia, the technical information and
resource reporting contained in this announcement was prepared by,
or under the supervision of, Mr Gregory
Lee, who is the Technical Director of the Company. Mr Lee
has more than 30 years' diversified experience in the petroleum
industry. Mr Lee is a chartered professional Engineer (CPEng)
and a member of the society of petroleum engineers (MSPE) and has
been an independent consultant Petroleum Engineer since 1992 and
has sufficient experience in exploration for, appraisal and
development, operations of oil and gas resources.
The directors of the Company accept responsibility for the
contents of this announcement.
This announcement contains inside information for the purposes
of Article 7 of EU Regulation 596/2014.
CONTACTS:
For further information on this update or the Company generally,
please visit our website at
www.doriemus.co.uk or contact:
Doriemus Plc
UK Contacts:
David Lenigas (Executive
Chairman)
+44 (0) 20 7440 0640
Greg Lee (Technical
Director)
Australia Contacts:
Julia Beckett (Joint Company
Secretary)
+61
(08) 6141 3500
Email: julia.beckett@wolfstargroup.com.au
UK Advisors:
Peterhouse Corporate Finance
Limited
+44 (0) 20 7469 0930
Guy Miller
Fungai Ndoro
FORWARD LOOKING STATEMENTS AND
IMPORTANT NOTICE:
This document may contain forward looking statements that are
subject to risk factors associated with the oil and gas industry.
It is believed that the expectations reflected in these statements
are reasonable, but they may be affected by many variables which
could cause actual results or trends to differ materially.
Investors should make and rely upon
their own enquiries before deciding to acquire or deal in the
Company’s securities.
This report contains forecasts, projections and forward looking
information. Although the Company believes that its
expectations, estimates and forecast outcomes are based on
reasonable assumptions it can give no assurance that these will be
achieved. Expectations, estimates and projections and
information provided by the Company are not a guarantee of future
performance and involve unknown risks and uncertainties, many of
which are out of the Company’s control. Actual results and
developments will almost certainly differ materially from those
expressed or implied. The Company has not audited or investigated
the accuracy or completeness of the information, statements and
opinions contained in this report. To the maximum extent
permitted by applicable laws, the Company makes no representation
and can give no assurance, guarantee or warranty, express or
implied, as to, and takes no responsibility and assumes no
liability for (1) the authenticity, validity, accuracy, suitability
or completeness of, or any errors in or omission from, any
information, statement or opinion contained in this report and (2)
without prejudice to the generality of the foregoing, the
achievement or accuracy of any forecasts, projections or other
forward looking information contained or referred to in this
report.
