Ophir continues to 'develop at pace'

Ophir Energy's balance sheet has strengthened significantly since the end of the first quarter, helped by the oil and gas group's placing in March.

The closing cash balance at the end of the first three months of 2012 was $323m, but stood at $529m at the end of April.

Some $241m was raised through a cash-box placing of 30.5m new ordinary shares on March 28th with the proceeds being used to part-finance an expanded 2012/13 exploration programme.

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Since the start of the year, the company says it has made signfcaitn operational progress across its portfolio, with the Jodari-1 well offshore Tanzania providing the largest discovery in the company's history, finding 4.6 trillion cubic feet of gas of gross recoverable resources in the tertiary intraslope play.

"Ophir continues to develop at pace. Over the past six months we have become the largest net acreage holder in the offshore East African play, acquired five seismic programmes in Tanzania and Gabon, and completed Jodari-1 as the largest discovery in the Company's history," said the firm's Chief Executive Officer Nick Cooper.

"The recent $241m equity raise strengthens Ophir's balance sheet to support this momentum, and a further five well results are expected by the end of the summer," he said.

BC