Business
Seven Energy Update & Share Premium Cancellation
Seven Energy Update & Share Premium Cancellation.
About this update from Savannah Energy Plc
[{"type":"text","content":"\n \nRNS Number : 3348T Savannah Petroleum PLC 03 July 2018 \n\n3 July 2018\n \nSavannah Petroleum PLC\n(\"Savannah\" or \"the Company\")\n \nSeven Energy Transaction and Operational Update\nConfirmation of Cancellation of Share Premium Account\nSavannah Petroleum PLC, the British independent oil and gas company focused around activities in West Africa, is this morning pleased to announce an update on the Seven Energy Transaction (the \"Transaction\") and on operations at the Seven Assets in South East Nigeria.\nTransaction Update\nGood progress continues to be made in relation to the satisfaction of the relevant conditions precedent ahead of the completion of the Transaction, including, inter alia, Ministerial Consent. It is currently anticipated that the Implementation Agreement, which documents the final legal terms and steps which will be taken to effect the Transaction, will be executed by the interested parties by the end of July 2018. Savannah continues to progress the relevant documentation with all relevant stakeholders to achieve this objective. The Transaction is now expected to complete in the third quarter of 2018, and will be followed in due course by the publication of a Supplemental Admission Document.\nProduction Update\n \nAverage daily production from the Seven Assets for the January - May 2018 period has been 18.8 kboepd (gross). Gas production levels in April and May were lower than that achieved in the first quarter of the year due to a maintenance programme conducted at the Calabar National Integrated Power Plant, one of Accugas' three principal gas supply customers. It is anticipated that gas production levels in the second half of the year will return to those achieved in Q1.\nGas from the Uquo field is sold via Accugas to three principal customers through gas sales agreements (\"GSAs\"), with take-or-pay volumes under the GSAs set at 152 mmscfd (25.3 kboepd). Gas production in the January - May 2018 period averaged 95 mmscfd (15.9 kboepd, gross), with a peak delivery rate of 156 mmscfd (26.0 kboepd, gross).\nStrong operational performance at the Seven Assets has been sustained, with uptime at the Uquo CPF and the Stubb Creek EPF of 100% over the five-month period to end May 2018. Field gas production capacity remains capable of delivering at least 176mmscfd (...