Centric Energy Corp.
TSX VENTURE : CTE

Centric Energy Corp.

December 07, 2009 09:30 ET

Centric Energy-Mali Exploration Update

LONDON, ENGLAND--(Marketwire - Dec. 7, 2009) - Centric Energy Corp. (TSX VENTURE:CTE) wishes to provide an update of exploration plans for its licences in Mali, west Africa.

Centric Energy holds a 25 per cent interest in Blocks 7 and 11 in eastern Mali; the remaining 75 per cent is held by wholly-owned subsidiaries of Heritage Oil PLC (LSE: HOIL; TSX: HOC), which operates both licences after farming-in during 2008. Under the terms of the farm-in, Centric Energy is carried through the 2D seismic work programme over both Blocks and the first exploratory well.

The Blocks have a total area of 72,000 square kilometres (approximately 18 million acres) and are located in the Gao graben, a Mesozoic-age rift basin with up to 15,000 feet of Cretaceous-age sediments. The rift basin is well-defined by the interpretation of high-resolution aeromagnetic survey flown by Centric Energy in late 2007, totalling 42,000 kilometres of flight lines, supported by 1976-vintage seismic data. Opportunities for hydrocarbon accumulations in African rift basins have been proven with discoveries such as those in the Agadem block in Niger; the Albertine graben in Uganda, where Heritage Oil has discovered major quantities of oil; and Chad, which has oil production of up to 200,000 barrels per day from the Doba basin.

The planned exploration activities in Mali for 2010 includes the acquisition, processing and interpretation of up to 354 kilometres of 2D seismic data in Block 11 and a firm budget of up to US$8.9 million (approximately C$9.4 million). The partnership is also considering continuing the seismic acquisition into Block 7. The start of acquisition is expected to be approximately mid-year 2010, after preliminary reconnaissance and fieldwork. It is expected that the interpretation of the seismic data will lead to the development of prospects for subsequent drilling.

Alec Robinson, President and CEO says:

"With these firm plans for acquisition of new seismic data in Mali, next year will be an exciting time for our exploration programme, with the potential to lead to exploration drilling in these Blocks in the following year. Centric Energy looks forward to working closely with our partner, Heritage Oil, on the continuing exploration of the Gao graben in Mali."

Centric Energy is focused on acquiring significant oil and gas opportunities with established partners in sub-Saharan Africa within the context of a balanced portfolio, while maintaining costs at a low level.

ON BEHALF OF CENTRIC ENERGY CORP.

Alec Robinson, President and Chief Executive Officer

This News Release does not constitute an offer to sell or a solicitation of an offer to sell any securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to a U.S. Person unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

Forward-Looking Statements:

Statements in this release that are forward-looking statements are subject to various risks and uncertainties concerning the specific factors identified in Centric Energy Corp's periodic filings with Canadian Securities Regulators. Such forward-looking information represents management's best judgment based on information currently available. No forward-looking statement can be guaranteed and actual future results may vary materially. Centric Energy Corp. does not assume the obligation to update any forward-looking statement except as required by applicable securities laws.

The TSX Venture Exchange does not accept resonsibility for the adequacy or accuracy of this release.

Contact Information

  • Centric Energy Corp.
    Alec E. Robinson
    Toll Free: +1 (800) 962-7189 or +44 207 222 8512
    www.centricenergy.com