President Energy claims 'significant upgrades' to prospective resources

Upstream oil and gas company President Energy announced the results of a new integrated basin study and geochemical survey over its exploration assets centred on the Puesto Guardian Concession, Matorras and Ocultar licenses on Friday, which have resulted in “significant upgrades” to the company's prospective resources.

The AIM-traded firm said new, “extensive” studies and surveys validated the significant prospectivity of President's Argentine exploration areas.

It reported aggregate Paleozoic gas and condensate prospects net to President, with mean unrisked prospective resources of over 7Tcf, with an upside case of over 20 Tcf and 185 MMbbls condensate.

President also said new, previously unreported Cretaceous oil prospects of over 40MMbbls MUPR had been identified.

The company said it was now preparing to launch a farm-out of Matorras and Ocultar, with engagement of advisors and plans to launch in the first quarter of 2018.

“President, as a profitable producing company, remains clearly focused on positive cash flow, profit margins and materially expanding our production base both organically and by way of acquisition,” said the firm’s chairman Peter Levine.

“The significance and large scale of our on-shore, readily accessible and monetisable Argentine exploration assets combined with the increasing interest of industry and institutional investors in Argentina has led us to the conclusion that a fast track way of exploring the major potential of these prospects by way of farm-out is an appropriate way to materially and expeditiously increase shareholder value in relation to these assets.

“In the meantime the farm-out process of our equally significant Paraguay exploration assets continues in an encouraging manner with parties already in the data room.”