New World Oil and Gas Wins Approval from Belize Government
Monday, October 17, 2011
- Ministry Approval for Assignment of Initial 12.5% Working Interest in the Blue Creek Project, Belize
New World Oil and Gas Plc, a company focused on making investments in the oil and gas sector, is pleased to announce that the Belize Ministry of Natural Resources and the Environment has formally approved the assignment of an initial 12.5% working interest in the 420 sq km Blue Creek Project located in the Petén Basin in Northwest Belize ('the Project') to New World's wholly owned subsidiary, New World Oil and Gas (Belize) Ltd ('NW Belize').
This represents the assignment of the first tranche under the Farm-Out Agreement announced on 16 June 2011 and follows the acquisition of 45 line km of 2-D seismic data and the re-payment of certain historical costs by New World to Blue Creek Exploration Ltd ('BCE') as referred to in the announcement on 20 September 2011.
The Company is continuing to carry out its Phase 2 125 line km 2-D seismic survey on the Project area, upon the completion of which, NW Belize will be transferred a further 12.5% working interest in the Project, bringing the Company's total working interest in the Project at that stage to 25%.
New World CEO William Kelleher said, 'The approval from the Government of Belize for the transfer of the first 12.5% working interest in the Blue Creek Project is another significant milestone for New World. As previously announced, following the results of the first of three planned phases of our seismic programme, our Competent Person, RPS, provided an update to the CPR, specifically highlighting four structures similar to those found in the nearby producing Spanish Lookout field in the productive and highly prospective Petén Basin.
The primary objective of Phase 1 was to provide greater resolution to possible structures and correlate these with the productive interval at Spanish Lookout, and this objective was achieved. Upon completion of Phase 2, it is intended that RPS will generate a second update to the CPR and we expect this to include first estimates of in-place or recoverable volumes. We expect this update to be released before the end of 2011 and look forward to updating shareholders on our progress then.'
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