StockMarketWire.com - Aminex has announced first gas production from its Kiliwani North gas field in Tanzania.

The Kiliwani North development licence is operated by a wholly-owned subsidiary of the company with a 55.575% working interest (expected to reduce to 51.75% as a result of a partial disposal announced on 4 April) and the field will provide the Company with its first significant African production revenues.

Highlights: - Initial production commenced from the Kiliwani North-1 well on 4 April. KN-1 is tied into the regional pipeline infrastructure and will deliver gas to the new adjacent Songo Songo processing plant, ultimately serving the local power market.

- Production is expected to build up to an anticipated production rate of 25-30 mmcfd (approximately 4-5,000 barrels of oil equivalent per day gross) over the next 90-100 days.

- All gas produced during the build-up to full production rates will be paid for under the terms of a recently signed Gas Sales Agreement signed with the sole buyer, Tanzania Petroleum Development Corporation. Aminex will receive US$3.00 per mmbtu (approximately US$3.07 per mcf) with expected net cash revenues of US$10-15 million per annum.


At 9:28am: [LON:AEX] Aminex PLC share price was +0.26p at 1.48p



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