Shares in Solo Oil, Aminex fall after Ntorya-2 well update

Shares in Solo Oil and Aminex are down heavily after they said the Ntorya-2 appraisal well, onshore Tanzania, has been successfully flow tested and is being suspended for future gas production.

"The well exceeded our pre-drill expectations for both reservoir extent and pressure," said Solo chair Neil Ritson.

"Ntorya-2, when taken together with the Ntorya-1 discovery well and the mapped seismic features, clearly indicates a gas volume of significant commercial interest," he added.

Flow rates were restricted for technical reasons. However, these fully met the requirements for a declaration of commerciality and application for a development licence.

Ritson added that a forward work programme, including perhaps acquiring 3D seismic data and drilling further appraisal/development wells, would hopefully lead to a gas development of national significance.

"This is a highly significant well result for Solo, our partner Aminex and to the United Republic of Tanzania," said Ritson.

The Ntorya-2 well is at the onshore Ruvuma Basin, southern Tanzania, on the Mtwara Licence (Solo 25%, Aminex 75% and operator).

At 10:31 GMT, shares in AIM-quoted Solo were down 15.82% to 0.66p each. Those in Aminex were donw 12.64% to 5.88p each.