AMINEX - Re: AEX Stream Log - Here is Davy's opinion DAVY...

Here is Davy's opinion DAVY VIEWThe update points to additional gas resource potential on the 75% held Rovuma licence area. This makes an appraisal well more attractive for a potential farm-in partner and also increases the possibility of eventual commercial development of the project.Further upgrade to in-place gas resource estimateA recent update pointed to an increase of in-place gas resource potential from 1.2 TCF (trillion cubic feet) to 1.9 TCF. This has been further increased to 2.3 TCF in place (Pmean) with additional analysis of the newly acquired 2D seismic. This is because the analysis points to a southern extension of a sand channel discovered in the more northern Likonde well. This means that a well on the Nytora discovery to the south, if planned properly, could appraise both the Likonde tertiary sand and the deeper cretaceous sand in the Ntorya discovery itself.This has two important implications. Firstly, it should make the prospect more attractive to a potential farm-in partner and secondly, the scale of the resource potential – even assuming just average gas recovery rates – is substantial and bodes well for possible commerciality in the future.