StockMarketWire.com - Aminex [LON:AEX] was the sector's biggest riser after it announced that gas production from the Kiliwani North-1 well in Tanzania reached 30 mmcf per day (approximately 5,000 barrels of oil equivalent per day)at the weekend with stable pressure recordings at that rate.

The commissioning process is expected to be concluded with the testing of the well to determine optimal rates which the company believes will be around 30 mmcf per day based on previous well-test data.

Aminex has 54.575% of the Kiliwani North Development Licence.

Aminex is the sole producer into the new Songo Songo Island Gas Processing plant and anticipates that post well testing that the plant will continue to require in excess of 23 mmcf per day to operate. The gas produced will be paid for under the terms of the 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).

Chief executive Jay Bhattacherjee said: "The commissioning of the production well at Kiliwani North is proceeding as expected, with production reaching 30mmcf per day at the weekend. Commissioning of the well, pipeline and associated plant are going well and TPDC advises that the process will be concluded by the end of the month, after which we plan to test the well to determine optimal flow rates."

Solo Oil [LON:SOLO] - which currently holds 7.175% of the Kiliwani North development licence and is set to increase its participation to 10% as certain project milestones are achieved - was also up in late trading.

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Xcite Energy [LON:XEL] has confirmed that the annual general meeting will be held at Holiday Inn Coquelles Hotel, Avenue Charles de Gaulle, 62231 Calais,on 27 July at 13:00 local time.

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LGO Energy [LON:LGO] has confirmed that all resolutions proposed at its annual general meeting today were passed.

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Egdon Resources [LON:EDR] says the Oil and Gas Authority has approved various licence extensions and conversions of licences to new model terms, and the relinquishment of one Egdon operated licence.

The OGA has offered holders of existing UK Onshore licences the opportunity to adopt 14th Round licence terms which allow licensees to nominate areas to be retained in exchange for additional work programmes.

Egdon has elected to follow this path on four operated licences and one further non-operated licence where the partnership has also decided to accept the new licensing terms.

Cleveland Basin:

- The first term of licence P1929 (Egdon 100%) covering UKCS Blocks 41/18 + 41/19 and containing the "A Prospect" has been extended by two years to 19 April 2019 to allow time for Egdon to secure the required permits and to plan and drill a well from an onshore location to appraise this 1966 gas discovery. It has not been possible to complete this process without an onshore licence over the drill-site although this will be addressed by the award of new 14th Round licences to Egdon, and we currently expect to finalise and submit a planning application to drill when these new licences are confirmed.

East Midlands:

- The first six year term for PEDL241 (Egdon 80%) containing the drill-ready North Kelsey oil prospect has been extended by one further year to 30 June 2017. (Egdon Resources UK Limited 80% and Union Jack Oil plc 20%)

- The first term for PEDL253 containing the drill-ready Biscathorpe oil prospect has been extended by one further year to 30 June 2017. (Egdon Resources UK Limited 52.8%, Montrose Industries Limited 35.2% and Union Jack Oil plc 12%)

- PEDL201 has adopted the new 14th Round licence terms and will continue without further relinquishment. (Egdon Resources UK Limited 32.5%, Celtique Energie Petroleum Ltd 32.5%, Corfe Energy Limited 12.5%, Terrain Energy Limited 12.5% and Union Jack Oil plc 10%)

- PEDL202 has adopted the new 14th Round licence terms and will continue without further relinquishment. (Egdon Resources UK Limited 100%)

- PEDL209 has adopted the new 14th Round licence terms and will continue without further relinquishment. (Egdon Resources UK Limited 50%, Blackland Park Exploration Limited 28%, Stelinmatvic Industries Limited 12% and Union Jack Oil plc 10%)

NW England:

- PEDL191 has adopted the new 14th Round licence terms and will continue without further relinquishment. (Egdon Resources UK Limited 100%)

Relinquishment: PEDL237 in the Wessex basin has been relinquished as the partners concluded that the bulk of the prospectivity in the area lay in PL090 surrounding Waddock Cross and that resources should be concentrated on that asset.

Non-operated licence changes:

Egdon says it notes operator Europa Oil & Gas plc's announcement that PEDL181 (Egdon Resources UK Limited 25%) in the Humber Basin will continue into its second term following the completion of first term work commitments and partial relinquishment.

IGas operated PEDL169 has adopted new 14th Round terms and will continue without further relinquishment. (IGas 80%, Egdon Resources UK Limited 20%)

Egdon Resources managing director Mark Abbott said: "Following on from the recently announced extension of the Europa operated licence PEDL143 containing the Holmwood prospect, we are pleased to have also been allowed additional time to drill our exciting operated onshore oil prospects at North Kelsey and Biscathorpe, and the offshore "A Prospect" which Egdon estimates may contain recoverable reserves of approximately 160 billion cubic feet of gas.

"In addition we are pleased to have been able to adopt the new 14th Round terms for several of our existing licences which will allow us to further evaluate the unconventional resource potential of the retained areas.

"The relinquishment of PEDL237 is in line with Egdon's strategy to focus on fewer, high potential areas."






At 4:07pm:

[LON:AEX] Aminex PLC share price was +0.13p at 1.13p

[LON:AUR] Aurum Mining PLC share price was 0p at 0.9p

[LON:BOR] Borders Southern Petroleum PLC share price was +0.01p at 1.88p

[LON:CHAR] Chariot Oil Gas Ltd share price was +0.56p at 6.2p

[LON:EDR] Egdon Resources PLC share price was -1.13p at 10.25p

[LON:ENQ] EnQuest Plc share price was 0p at 33.5p

[LON:GKP] Gulf Keystone Petroleum share price was -0.67p at 4.18p

[LON:GPX] Gulfsands Petroleum PLC share price was 0p at 3.13p

[LON:INDI] Indus Gas Ltd share price was +2.63p at 212.63p

[LON:LGO] LGO Energy PLC share price was -0.02p at 0.17p

[LON:PET] Petrel Resources PLC share price was -0.13p at 7.13p

[LON:RKH] Rockhopper Exploration PLC share price was -0.37p at 35.38p

[LON:RPT] Regal Petroleum PLC share price was +0.43p at 4.31p

[LON:SOLO] Solo Oil PLC share price was +0.01p at 0.25p

[LON:XEL] Xcite Energy Ltd share price was -0.36p at 8.39p



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