Solo Oil has seen its shares rise sharply after its joint venture partner Reef Resources announced an 85 per cent increase in proven plus probable (P2) reserves to 348,700 barrels of oil, gas and liquids from 189,000 last year.
The petroleum initially in place was estimated at 7.84 barrels.
The current P2 net present value (before tax) at a 10% discount rate evaluation for the year ended July 31st is at $7.86m, a 98% increase compared to a year earlier.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Total proven and probable reserves are 324.2m stock tank barrels of light and medium oil, 106.1m cubic feet of gas, and 6.8m stock tank barrels of natural gas liquids.
Taking into account possible reserves as well the figures stand at 531.8m stock tank barrels of light and medium oil, 140.4m cubic feet of gas, and 9.6m stock tank barrels of natural gas liquids.
Stated Arnie Hansen, President and Chief Executive Officer of Reef, said: "We are very pleased to see further confirmation of the value of the Ontario oil and NGL play. We continue to focus on bringing this highly attractive asset into production and cash flowing status. We appreciate the patience that our shareholders have demonstrated in the company and intend to reward this patience in the coming months."
NR
-
Barclays begins paying up to £100 compensation to customers after banking outageBarclays will pay up to £7.5 million in compensation to customers after its banking services were disrupted by an IT outage
-
Review: Shangri-La Paris – an ode to the world’s best foodNatasha Langan enjoys fine French and Chinese cuisine at the Shangri-La Paris
