Calgary, Alberta – Sonoro Energy Ltd (the “Corporation “ or “Sonoro”) (TSX Venture: SNV) is pleased to announce that along with its Indonesian partner an affiliate of a substantial Indonesian company, has submitted a bid for the Selat Panjang PSC in the 2019 Conventional Bid Round in Indonesia. Sonoro expects announcement of the successful bid to occur within the next month. Sonoro has a 25% interest in the project with an option for up to an additional 24%.
The Selat Panjang PSC area is situated in Riau province, Central Sumatra and is approximately 925 km from Jakarta and 110 km from Pekanbaru (capital city of Riau Province). The block has produced oil and gas in prior years, in 2014, the Indonesian Ministry of Energy approved a plan of development for further production however, in 2018, the block PSC was terminated by the Indonesian Ministry of Energy and as a result the Plan of Development was not implemented.
The consortium has submitted a bid for the block that will commit it to a five-year work program and a signature bonus each of which satisfies the minimum commitments required by the Government of Indonesia for qualifying bids on the Selat Panjang PSC.
The actual total commitment and the amount of the signature bonus will remain confidential until the successful bidder and the award of the bid is announced. Sonoro’s partner has funded the bid costs including the signature bonus on behalf of Sonoro.
Sonoro’s proportionate share of the expenditures related to the acquisition of the block and the work program will be borne by its partner for up to twelve months. These costs will be repaid to our partner on terms to be agreed.
Certain information in this news release constitutes forward-looking statements under applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may," "should," "anticipate," "expects," "estimates," "seeks" and similar expressions. In particular, without limiting the generality of the foregoing, this news release contains forward-looking information regarding the PSC.
Forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with oil and gas exploration, development, exploitation, production, marketing and transportation, loss of markets, volatility of commodity prices, currency fluctuations, imprecision of reserve estimates, environmental risks, competition from other producers, inability to retain drilling rigs and other services, delays resulting from or inability to obtain required regulatory approvals, changes in legislation including but not limited to income tax, environmental laws and regulatory matters, and ability to access sufficient capital from internal and external sources. Readers are cautioned that the foregoing list of factors is not exhaustive.
Readers are cautioned not to place undue reliance on forward-looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement.
Additional information on these and other factors that could affect Sonoro's operations or financial results are included in Sonoro’s reports on file with Canadian securities regulatory authorities and may be accessed through the SEDAR website (www.sedar.com) or by contacting Sonoro. The forward looking statements contained in this news release are made as of the date of this news release and Sonoro does not undertake any obligation to update publicly or to revise any of the included forward-looking statements, whether as a result of new information, future events or otherwise, except as expressly required by securities law.
Neither the TSX Venture Exchange nor its Regulation Service Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
For further information, please contact:
Sonoro Energy Ltd.