Global Petroleum Ltd
04 May 2006
4 May 2006
Global Petroleum Limited ('Global')
WOODSIDE COMMITS TO SECOND EXPLORATION WELL IN JOINT VENTURE WITH GLOBAL AND
DANA IN OFF-SHORE KENYA
The Woodside led Joint Venture has elected to enter the 1st Additional
Exploration Phase in PSC L-7, which includes a one well commitment to be drilled
before June 2008, Global Petroleum Limited announced today.
As a result of both the Dana and Woodside farm-in, Global will be fully carried
through the first exploration wells in each of L5 and L7 and retains 20%
equity. Other equity levels are Woodside Energy (Kenya) Pty Ltd 50% (Operator)
and Dana 30%.
Welcoming the decision, Global Chairman Dr John Armstrong, said: 'This is an
excellent outcome for Global. The extended commitment from Woodside, a
successful major oil and gas exploration and development company, supports
Global's confidence in this under-explored province.'
The Joint Venture is scheduled to drill the first of the two wells in Block L-5
beginning October 2006, with the timing dependent on met-ocean conditions and
the arrival of the rig in Kenya. The board of the Japanese Agency for
Marine-Earth Science and Technology (JAMSTEC) owner of the deepwater drilling
vessel has now approved the rig contract with Woodside.
Dr Armstrong said Woodside and the Joint Venture's further commitment in L7
support's Global's view regarding the prospectivity of the region:
* Woodside regards Kenya as an under-explored frontier area with significant
potential, identifying it as 'the most prospective part of east Africa, with
several large geological structures hosting multiple targets similar to those
found on Australia's North West Shelf' (Woodside website)
* Kenya has 'multiple large structural prospects' (Woodside presentation
November 2005)
* Woodside has identified some 50 prospects and leads, a number of which are
capable of holding several hundred million to a billion barrels of recoverable
oil.
Further information
Global Petroleum Limited
Dr John Armstrong, Executive Chairman Tel: +61 (0) 732 111 122
Fax: + 61 (0) 732 110 133
Web: www.globalpetroleum.com.au
Bell Pottinger Corporate & Financial
Nick Lambert Tel: +44 (0) 20 7861 3232
* The technical information in this report was prepared by Dr John Armstrong
PhD, BSc (1st Hons) Geo, executive Chairman of Global Petroleum Limited who has
35 years experience in the upstream oil and gas industry.
* The information has been reviewed as to its reliability by Mr Wal Muir BSc
Hons (UNSW) MBA (UQ), who is a partner in MBA Petroleum Consultants. MBA
provides independent technical advice to Global. Wal Muir has over 27 years
experience in the petroleum exploration industry both in Australia and overseas.
He is a Distinguished Member of the Petroleum Exploration Society of Australia
and a member of the Australian Society of Exploration Geophysicists.
This information is provided by RNS
The company news service from the London Stock Exchange