Swala Energy halts trading ahead of Kenya Block 12B announcement

Swala Energy has requested a trading halt to last until an announcement is made which it expects to occur before the commencement of normal trading on Monday 21 July in relation to the Block 12B Joint Venture in Kenya.

The block which is operated by Tullow Oil with 50% equity interest recently saw the completion of a 2D seismic programme covering a total of 350km with preliminary processed data indicate the presence of large-scale faulted structures across the entire basin, together with the presence of shallow volcanics, a feature of the East African Rift System.

Initial results, supported by the Company’s earlier reinterpretion of available legacy data, suggest a Neogene basin with possible 3,000 metres of sedimentary fill.

Last month Swala Energy announced it had completed a farm out agreement for a 25% working interest in Block 12B in Kenya with Spanish integrated oil and gas company, CEPSA.