Guinea, Bove Basin

Simba Energy has signed an Agreement to acquire a 60% interest in the Production Sharing Agreement (PSA) for Blocks 1 & 2 comprising 12,000 square kilometres onshore in the Republic of Guinea’s Bove basin.  After conducting both site investigation and detailed review of available technical data, the company’s geological staff concluded Blocks 1 & 2 represent significant potential for oil and gas in a basin that remains relatively underexplored.

A work program, including planning for commencement of a seismic program, will proceed immediately after receipt of final approval from the Minister of Mines. Simba recently conducted a detailed review of technical data on Blocks 1 & 2 and concluded a significant potential for oil and gas exists.

Highlights

Heavy Oil at Surface

Migration and communication are demonstrated by the presence of seeps, large accumulations of bio-degraded heavy oil at surface, along with light oil staining in earlier (historical) core and samples

Laboratory Analysis

A detailed laboratory analysis of samples from two wells carried out in 1989 by Beicip (France) indicated a level of maturity as mature to over mature and a source that is likely oil prone

Source Rock

Silurian shales, which are the major source rock in all North African basins, are present

Reservoir Systems

The basin has three known reservoir systems with fair to good reservoir parameters in both clastic sediments and carbonates

Magnetometer Survey

A gravity and magnetometer survey carried out over the entire basin in 1972 by Texas Geophysical Company indicates sediments were present up to a depth of 4,000 metres and identified numerous anomalies, the magnitude of which remain of great interest

Wells

Most of the basin’s wells to date were drilled prior to the 1960’s and were too shallow to fully evaluate the section

Tectonic Style

The tectonic style of the Bove basin is such that structures are formed that produce traps capable of pooling large reserves

In an area 100 to 200 kilometres offshore from Blocks 1 & 2 Hyperdynamics Corporation (Houston, TX, NYSE Amex: HDY) recently carried out extensive 2D & 3D seismic surveys and now plans to drill the first of a two well program later this year.