New World Oil and Gas, an exploration and development company focused on Belize and Denmark, has confirmed the arrival of the ThermaSource drilling rig 104 in Northwest Belize at the end of August.
Drilling will soon begin on the B Crest prospect, one of three drill-ready prospects identified on the company's flagship Blue Creek Project, located in the productive Petn Basin.
The equipment is currently being rigged up, after which it will be tested for operational capability, with drilling expected to start on or around the start of October.
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The drilling rig is being provided by the company's drilling contractor following a farm-down of a 5.0% working interest per well for the first two wells in exchange for a 25% reduction in drilling costs.
B Crest, which is estimated to hold a probable (P50) un-risked prospective resource of 92.1m barrels of oil, is the first of the drilling programme at Blue Creek.
Chief Executive Officer William Kelleher said: "New World is entering a tremendously exciting period that will see, in just a matter of weeks, the commencement of drilling operations at Blue Creek in Belize, our most advanced project.
"Having reduced the geologic risk of our Belizean prospects by 60% through a multi stage seismic programme we will be in a position to judge whether we have made an oil discovery by mid to late November 2012.
"This is a hugely significant milestone for the company and we are delighted to have reached it ahead of schedule and at a 53% reduced cost following our amendment to our farm-out agreement and our farm-down to our drilling contractor."
NR
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