Solo Oil Opts Not To Increase Interests in Kiliwani North, Tanzania

Solo Oil has announced that it has informed Aminex plc, the operator of the Kiliwani North Development Licence it does not intend to exercise its immediate option over a further 1.25% interest in the KNDL, which is now available to Solo having received first revenue from gas sales in mid-August.

Solo Oil continues to hold a further option over an additional 1.575% in the producing Kiliwani North field as announced April 2016 which it says it will determine its investment in that tranche in due course.

According to Solo Chairman Neil Ritson the company has elected to focus its immediate investment on the larger potential at Ntorya.

“We are very pleased with the progress being made at Kiliwani North now that the Songo Songo Island gas processing plant has been fully commissioned and we expect to see further production and gas sales news in the next few weeks.  Kiliwani North is an important project for us as it represents our first revenue from Tanzania, however, Solo has elected to focus its immediate investment on the larger potential at Ntorya, where appraisal drilling of will shortly be underway,” says Neil.

Solo presently holds a 7.175% interest in the KNDL which contains the producing Kiliwani North-1 well.  If the Company elects to take the final option its total interest in the KNDL will rise to 8.75%.

The Company also holds a 25% interest in the Ruvuma Production Sharing Contract area in Tanzania which contains the Ntorya-1 gas condensate discovery well.