News

November 17, 2009

Aminex Adds Industry Newcomer Solo Oil To The Likonde-1 Joint Venture Ahead Of January 2010 Spud Date

With just two months to go until the long-anticipated spudding of the Likonde-1 wildcat in Tanzania, Aminex plc has signed a farm-in deal that will reduce its exposure to this high impact well. Although fully funded for its share of the Likonde-1 well costs, the London-listed company was keen to bring in a farm-in partner to manage its risk profile and bring some balance to its dealings with its 50/50 partner, FTSE 100 heavyweight Tullow Oil.

The farm-in partner in question is AIM-quoted Solo Oil, which until earlier this year used to trade as audio technology company Immersion Technologies. Solo will earn a 12.5 per cent interest in the Likonde-1 well, leaving Aminex with 37.5 per cent, in return for paying 12.5 per cent of Aminex’s back costs (about US$1.25 million) and 18.75 per cent of the Likonde-1 drill costs (US$3.4 million). After the well is completed, Solo has the right to participate in any further wells on the...