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EnerGulf provides Lotshi block progress report


Published Jul 1, 2010
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EnerGulf - Lotshi Block in DRC

EnerGulf Resources Inc. reports the seismic acquisition on the Company's Lotshi Block in the Democratic Republic of Congo ('DRC') program is well underway. The Lotshi Block covers approximately 500 square km of the Les Zones du Bassin Côtier in the onshore coastal salt basin of western DRC. EnerGulf is the operator of the project and has a 90% interest. The Block is contiguous to Cabinda, Angola and is on trend with ENI's giant M'Boundi Field in Republic of Congo and situated in a similar geological rift graben. The Lotshi Block is also in relatively close proximity to Chevron's, Malongo and Takula giant field complexes offshore Cabinda and the smaller onshore and offshore fields in DRC operated by Perenco. Also, ROC Oil Company Ltd. and Petroplus recently reported that the Castanha-1 well had struck light oil over 15 gross metres below a depth of 2214 metres in the Chela formation and tested 2,275 bopd of 33 API oil on a 5/8" choke on their Cabinda South Block, which is immediately contiguous to the Lotshi Block's western boundary.

EnerGulf's 2010 seismic program consists of approximately 200 km of 2D seismic. This high quality survey is designed to compliment and augment the existing historical seismic data and the recently completed aeromagnetic survey on the block, to further define drill targets, as well as to identify and evaluate other potential areas for exploration. Re-processing and evaluation of the existing seismic data on the block has identified multiple high potential leads. Once the current seismic program has been completed and evaluated, EnerGulf anticipates commencing exploration drilling.

To date, forty percent of the program's planned seismic lines have been cleared and surveyed. The company has improved much of the road network in and around the block for better access to the seismic lines. Geophysical Institute of Israel ('GII'), the seismic contractor, and EnerGulf's Quality Control and Health, Safety and Environment team are on site and working. The seismic operations base camp is completed and functioning, the seismic crews have been hired and the government certification of the Company's Environmental Impact Statement has been received. The seismic recording phase of operations is scheduled to be underway early July and the Company anticipates the entire program should be completed in late summer or early fall 2010.

In addition, EnerGulf is performing surface geologic studies and geochemical sampling of known surface oil seeps in the eastern part of the block. The eastern boundary of the block is contiguous with a bitumen mining license. The existence of these seeps provide solid evidence of the existence of hydrocarbons on the Lotshi Block.

EnerGulf, Chairman and CEO, Jeff Greenblum comments: "The seismic acquisition program we are currently undertaking on the Lotshi Block is an important step for our company in achieving our goals to deliver high impact oil and gas producing properties. We believe the Lotshi Block will be a cornerstone property for EnerGulf and our evaluation of the block to date as well as recent activity in the area has further enhanced our view of the project. We want to get a drill bit turning in the ground as soon as possible and are on schedule to reach that goal in the short term."

Tags: EnerGulf Resources Inc.




   

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