Taipan Resources Inc.
TSX VENTURE : TPN

Taipan Resources Inc.

March 06, 2014 09:25 ET

Taipan Resources Inc. Announces New Seismic Data Confirms Robust Closure at the 251 Million Barrel Badada Prospect

NAIROBI, KENYA--(Marketwired - March 6, 2014) - Taipan Resources Inc. ("Taipan" or the "Company") (TSX VENTURE:TPN) is pleased to announce that BGP has completed an additional 196.2 km 2D seismic survey on Block 2B onshore Kenya. The new 2D seismic data acquired confirms robust closure at the Badada Prospect (formerly Pearl Prospect).

Taipan's 2D seismic data base over Block 2B now totals almost 2,500 line km. This includes the 440 km survey acquired in early 2013 and c. 1,850 km vintage data. The company also acquired 12,175 line kms FTG ("Full Tensor Gravity Gradiomety") data in 2013.

Processing of the 196.2 km of seismic data is now underway and is expected to be completed by mid-March. The data will be used to finalize the drilling location for Badada Prospect that is planned to be drilled later this year.

The Badada Prospect has been independently estimated by Sproule International Limited ("Sproule") to have Mean Gross Unrisked Prospective Resources of 251 MMBOE and High (P10) Estimate Gross Unrisked Prospective Resources of 498 MMBOE. The total estimated Mean Gross Unrisked Prospective Resources on Block 2B is 1,593 MMBOE based on 19 exploration leads1.

Premier Oil plc is carrying Taipan through the cost of the work program on Block 2B for the first additional exploration period totalling a gross cost of up to $29.5-million. This includes the drilling and testing of the Badada Prospect. Taipan holds a 45% interest in Block 2B and is the operator during the exploration phase with Premier having the right to assume operatorship of any development.

1. Sproule International Limited ("Sproule") completed an updated independent assessment of the Company's prospective resources on Block 2B with an effective dated of December 31, 2013. The independent assessment was carried out in accordance with the standards established by the Canadian Securities Administrators in National Instrument 51-101 Standards of Disclosure for Oil and Gas Activities.

About Taipan Resources Inc.

Taipan Resources Inc. (TSX VENTURE:TPN) is an independent, Africa-focused oil exploration company with interests in Block 1 and Block 2B onshore Kenya through its wholly owned subsidiary Lion Petroleum Corp. Taipan operates and holds a 45% working interest in Block 2B (1.35 million acres / 5,464 km2) and a 20% working interest in Block 1 (5.497 million acres / 22,246 km2) which is operated by East Africa Exploration (Kenya) Ltd, a subsidiary of Afren plc.

Prospective Resources are those quantities of petroleum that are estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. Prospective Resources have both an associated chance of discovery and a chance of development. Prospective Resources are further subdivided in accordance with the level of certainty associated with recoverable estimates assuming their discovery and development and may be sub-classified based on project maturity.

There is no certainty that any portion of the Prospective Resources will be discovered. If discovered, there is no certainty that it will be commercially viable to produce any portion of the resources.

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 for the adequacy or accuracy of this release. The statements contained in this release that are not historical facts are forward-looking statements, which involve risks and uncertainties that could cause actual results to differ materially from the targeted results. The Company relies upon litigation protection for forward looking statements.

The reader is cautioned that assumptions used in the preparation of any forward-looking information may prove to be incorrect. Events or circumstances may cause actual results to differ materially from those predicted, as a result of numerous known and unknown risks, uncertainties, and other factors, many of which are beyond the control of Taipan. As a result, Taipan cannot guarantee that any forward-looking statement will materialize and the reader is cautioned not to place undue reliance on any forward-looking information. 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 and include, but are not limited to, statements with respect to estimates of resources, future drilling and other exploration activities, and ultimate recovery of resources. The forward-looking statements contained in this news release are made as of the date of this news release and Taipan will only update or revise publicly any of the included forward-looking statements as expressly required by Canadian securities law. Statements concerning resource estimates constitute forward-looking statements and reflect conclusions that are based on certain assumptions that the resources can be economically exploited.

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