SOURCE: Longreach Oil & Gas Limited

January 31, 2011 02:00 ET

Longreach Oil and Gas Limited Contract Awarded

JERSEY, CHANNEL ISLANDS--(Marketwire - January 31, 2011) - LONGREACH OIL AND GAS LIMITED (TSX-V: LOI), an oil & gas company focused on Morocco, is pleased to announce that Fugro Robertson, one of the world's leading geoscience and technical services company, has been awarded the contract for seismic reprocessing on the Foum Draa and Side Moussa licenses, offshore Morocco.

The work will involve the reprocessing of 1500km of 3D data on the offshore Foum Draa license and the reprocessing of 2000km2 of 2D data on the Sidi Moussa licenses. The Company holds a 10% interest in each of the offshore Sidi Moussa and Foum Draa licenses.

The reprocessing will tie in the information from the existing wells on the Foum Draa and Sidi Moussa license including RAK 1 and Ifni Marine 1.

The work is expected to be completed by the end of the second quarter 2011.

About Longreach

Longreach holds varying interests in 4 exploration licenses in southern onshore and offshore Morocco, totalling approximately 11.8 million acres of exploration acreage, accounting for approximately 15% of the country's total license area. 

Longreach's Zag license is located in the Zag-Tindouf Basin Complex in southern Morocco, and is on trend with what are believed to be significant gas discoveries in Algeria. The Company holds a 30% interest in the Zag license.

The Tarfaya license represents the Company's nearest term development opportunity. Multiple prospective structures have been identified based on current 2D seismic and a further seismic programme is planned for Q4 this year.

The Company holds a 10% interest in each of the offshore Sidi Moussa and Foum Draa licenses. Multiple prospects have been identified on each license, nine of which have resource potential greater than 50 million barrels. Seismic reprocessing is currently underway. 

Statements in this press release regarding Longreach's businesses which are not historical facts are "forward-looking statements" that involve risks and uncertainties, such as statements regarding opportunities available to Longreach and the prospectivity or potential of areas under license. Since forward-looking statements address future events and conditions, by their very nature they involve numerous assumptions, inherent risks and uncertainties, both general and specific, including the risk that predictions and other forward-looking statements may not prove to be accurate. Do not rely on forward-looking statements, as a number of important factors, many of which are beyond Longreach's control, could cause actual results to differ materially from those currently anticipated in such statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • For Further Information:
    Longreach
    Bryan Benitz
    Chairman & CEO
    +44 20 3137 7756
    Or Longreach's investor relations agent:

    Pelham Bell Pottinger
    Mark Antelme / Philip Dennis
    +44 207 861 3232
    Additional information on Longreach Oil and Gas Limited can be found at www.sedar.com