Panorama Petroleum Inc.

October 17, 2014 09:00 ET

Panorama's Block 26 Update

VANCOUVER, BRITISH COLUMBIA--(Marketwired - Oct. 17, 2014) - Panorama Petroleum Inc. (the "Company") (TSX VENTURE:PPA) reported through a news release dated September 29, 2014 that the Company entered into a Memorandum of Understanding ("MOU") with State Petroleum Overseas Inc. ("State") to acquire one hundred percent (100%) of State's issued shares subject to a Definitive Agreement, the fulfillment of certain conditions precedent and TSX.V Exchange approvals.

State is a signatory with the Government of Sudan, to an Exploration & Production Sharing Agreement ("EPSA") wherein State obtained a fifty percent (50%) interest in Block 26, Rawat Basin, Sudan.

Block 26 covers an area of 26,149 sq. km. with substantial data including;

  • Two (2) discovery wells C1 and C2 which are 4 km. apart where oil was encountered in the Galhak formation. The crude oil is a light 30° (+/-) API and the wells were drilled to a depth of 1,800 m. +/- and DST tested.

  • 6,071 km. of 2D seismic and 430 sq. km. of 3D seismic.

  • Extensive geological and geophysical studies etc.

State has retained Chapman Petroleum Engineering Ltd., Calgary, to prepare an NI 51-101 report which report will be provided to Panorama as part of the conditions precedent to the pending transaction.

The Rawat Basin

The Rawat Basin is within the White Nile Rift System and is analogous to the northern extension of the Melut Basin, located in South Sudan. The Melut Basin has significant oil production. Both Cretaceous and Tertiary Strata are preserved in the Rawat Basin and they attain maximum thickness of more than 5,000 m. adjacent to master normal faults. The reservoir rock is sandstone with shales, with good reservoir parameters and the Block is viewed by State as highly prospective and substantially de-risked due to the existence of two discovery wells. A 1,380 km. oil export pipeline flows through Block 26 from the Melut Basin to Port Sudan. A Central Processing Facility ("CPF") is also situated within the Block boundaries.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility or the adequacy or accuracy of this release. Certain information provided in this news release contains forward-looking statements that by their nature are subject to numerous risks and uncertainties and readers are cautioned that actual results may vary considerably from those forecasted.

Contact Information

  • Panorama Petroleum Inc.
    Dr. Waseem Rahman
    (604) 684-2401
    (604) 684-2407 (FAX)