Savannah Petroleum confirms Niger operations drilling start in H1 2017

Savannah Petroleum's shares have soared by almost a fifth after confirming its drilling operations in Niger are expected to begin during the first half of the year.

The company said it had signed a letter of award with Great Wall Drilling Company Niger SARL for GWDC Rig 89, this providing for a programme of three firm wells, and including options for a further six wells at Savannah's discretion.

"The rig is already in Niger, and drilling operations are expected to commence during the first half of this year," the company said in a statement.

Savannah also said purchase orders had been issued for certain well-related long-lead items (including casing and wellheads), which were required for its upcoming drilling campaign in the Agadem Rift Basin onshore Niger.

At 14:06 GMT, shares in AIM-listed Savannah were up 17.09% to 34.25p each.