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ZIMI LIMITED — Capital/Financing Update 2011
Apr 3, 2011
66122_rns_2011-04-03_11ccd855-35f0-4a0d-8c8a-c4eb184ac329.pdf
Capital/Financing Update
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WHL Energy Ltd ABN: 25 113 326 524 2 Leura Street, Nedlands Western Australia P.O. Box 3445, Broadway Nedlands Western Australia 6009
T: +61 8 6500 0271 F: +61 8 6389 1151 www.whlenergy.com
ASX/MEDIA RELEASE 4 April 2011
INDEPENDENT TECHNICAL REPORT CONFIRMS SEYCHELLES LEADS OF UP TO 5 BILLION BARRELS FOR WHL ENERGY
Highlights:
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Independent report by Isis confirms 12 leads for WHL Energy in the Seychelles across 4 different play types:
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Oil in place of between 166 million barrels and 5.44 billion barrels per lead
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WHL Energy has received approaches from a number of potential farm-in partners in respect of the Company’s highly prospective Seychelles oil and gas acreage
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WHL Energy is encouraged with the early interpretation of seismic data and is considering extending the current 2D seismic programme over the Creole lead and other key leads in the area
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Seismic programme has progressed well and is now complete on the WHL Energy blocks. Delivery of the processed seismic and interpretation of the new data will commence in April
Australian energy company WHL Energy Limited ( ASX: WHN ) (“ WHL Energy ” or “ the Company ”) is pleased to announce it has received an Independent Expert Report undertaken by Isis Petroleum Consultants Pty Ltd (“ Isis” ) that has confirmed previously identified leads and identified new additional leads based on a review of 2006 seismic data.
The report is a volumetric assessment of in-place volumes and also the probability of success (“ POS ”) estimates for 12 leads in the 100%[1] held WHL Energy acreage off the coast of the Republic of the Seychelles. POS calculated by Isis reflects the relative sparseness of seismic information over the leads and the quality of the early seismic. POS range from 6.3% to 11.8% and are considered to be very encouraging at this early stage of the interpretation. Isis has noted that it expects the POS to increase with the provision and interpretation of the new 7,000 km 2D seismic.
The Isis report evaluated estimates for twelve leads in the WHL Energy held acreage. The top ten leads are noted in the table below:
1 1. Subject to a potential farm-in by Austin Exploration Limited of up to 4%
| Top 10 Leads in WHL Acreage | Top 10 Leads in WHL Acreage | |
|---|---|---|
| Lead | Target | Unrisked Oil in Place(MMbbl) |
| Mean | ||
| Creole | Upper Cretaceous/Paleocene sandstone | 5441 |
| Coetivy Bank | Upper Cretaceous/Paleocene carbonate | 1610 |
| Beau Vallon | Upper Karoo sandstone | 1577 |
| Beau Vallon West | Upper Karoo sandstone | 949 |
| Lead D | Upper Karoo sandstone | 864 |
| Lead E | Upper Cretaceous sandstone | 772 |
| Junon Bank South | Upper Karoo sandstone | 674 |
| Junon Bank | Upper Karoo sandstone | 641 |
| Lead D West | Upper Karoo sandstone | 612 |
| Turbidite Lead F | Upper Cretaceous sandstone | 330 |
Volumes calculated for 100% oil. Given the early nature of the interpretation some leads may contain gas. Clarification of the hydrocarbon will improve as the interpretation of the new seismic progresses but will ultimately be tested through drilling.
Isis has noted that all of the leads will benefit from the interpretation of the 2D seismic data currently being shot in the area for WHL Energy. The current 2D seismic acquisition programme will provide crucial additional data to further delineate the existing leads, provide improved confidence in the volume potential estimates, and mature drilling targets. This work will also be important in discussions with potential farm-in partners. Initial indications from the current 2D seismic programme indicate significant data quality improvement over the data currently available.
The following map illustrates the updated leads over the WHL Energy acreage.
WHL Energy Acreage and Updated Leads Map
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WHL Energy’s Chief Executive Officer, Mr David Rowbottam commented “the Isis report has confirmed the Company’s strong belief that the Seychelles exploration interests have the potential to hold world class hydrocarbon reserves. The ongoing 2D seismic acquisition program will add further value to this exciting asset and add momentum to WHL Energy’s discussions with a number of interested potential farm-in partners.”
“Furthermore, it will enable the Company to aggressively progress and develop those areas that the Report shows as being highly prospective as the Company progresses key leads towards drilling” Mr Rowbottam said.
UK Wind Farm Assets
The Company is also pleased to report that progress continues to be made on the fresh application for the planning consent for the Wings Law Wind Farm (“ WLWF ”) as part of the Ladymoor Renewable Energy Scheme in North Ayrshire, Scotland. WHL Energy is aiming to obtain planning consent for the 48 MW Wings Law Wind Farm and follows the recent release of the outline planning consent by North Ayrshire Council on 23 March 2011 for the nearby 5 MW hydrogen balancing demonstrator facility..
The Company has placed an order with BAE Systems a global company engaged in the development of advanced aerospace systems, to commence the first phase of the aviation mitigation for WLWF. It is proposed that this work will be funded through a cash injection from a proposed farmout arrangement covering the project, including the responsibility for all future costs.
“The Company remains committed to pursuing the planning consent for the WLWF. The proposed farmout agreement that is subject to final terms and due diligence by the farmin partner will remove the financial risk to WHL Energy of further costs while the opportunity is developed” Mr Rowbottam said.
End.
FURTHER INFORMATION Shareholders/Investors: Media contact: David Rowbottam Colin Hay WHL Energy Ltd Professional Public Relations T: +61 8 6500 0271 T: +61 8 9388 0944 E: [email protected] E: [email protected]
About WHL Energy Limited
ASX-listed WHL Energy Ltd (ASX: WHN ) is a diversified energy company with interests in a large petroleum exploration asset off the coast of the Republic of the Seychelles, a suite of Renewable Energy Projects and Prospects in Europe and onshore oil and gas producing and exploration holdings in the United States of America.
The Company’s “flagship” project is its very large offshore Seychelles oil and gas interests. This 20,700km[2 ] exploration holding is considered highly prospective for potentially very large hydrocarbon targets, and WHL Energy is currently undertaking further work to gain a higher understanding of that potential as it progresses the Seychelles oil and gas assets towards farm-out and drilling.