Sterling Energy provides the following update for the Ampasindava block, offshore Madagascar.
Sterling Energy (UK) Limited ('Sterling'), a wholly owned subsidiary of the Company, holds a 30% non-operated working interest in the Ampasindava Block PSC. The PSC is in Phase 3 of the Exploration Period, due to expire in July 2016. As a result of the farm-out of the Ampasindava Block to ExxonMobil Exploration and Production (Northern Madagascar) Limited ('ExxonMobil'), (70% working interest and Operator), Sterling's costs in this block are carried up to a fixed gross amount.
Following a detailed subsurface re-assessment of the prospectivity of the Ampasindava Block by the joint venture and after discussions with the Office des Mines Nationales et des Industries Stratégiques ('OMNIS'), ExxonMobil and Sterling have signed the relevant documentation with OMNIS to relinquish the Ampasindava Block.