HOUSTON, March 31, 2017 /PRNewswire/ -- Hyperdynamics
Corporation (OTCQX: HDYN) (the "Company") today announced that its
wholly owned subsidiary, SCS Corporation Ltd. ("SCS"), and South
Atlantic Petroleum ("SAPETRO") today executed a Farmout Agreement
(FOA). Under the terms of the FOA, SAPETRO will receive a 50%
participating interest in the Production Sharing Contract ("PSC")
between the Republic of Guinea and
SCS in exchange for its commitment to pay 50% of the Fatala well
costs (the minimum work program under the PSC) plus reimbursement
to SCS of half of the costs previously incurred in preparing for
the well since the PSC Second Amendment was signed. The approximate
amount of such previous costs is estimated to be approximately
$8-10 million depending on the timing
of the completion of the FOA and upon approval of the Guinea
Government. SAPETRO and the Guinea National Petroleum Office signed
a Tri-partite Protocol on March 10
setting a deadline for submission of farmout documents by
April 10 and starting of the Fatala
well by May 30.
"We are very excited about SAPETRO's commitment to join
Hyperdynamics in this high-potential opportunity to unlock the
value of Fatala and several additional prospects identified by our
geoscientists on the 5,000-square-kilometer PSC block," said
Ray Leonard, Hyperdynamics'
President and Chief Executive Officer.
"With funds already invested by SCS in preparation for the
Fatala well, past cost reimbursement and SAPETRO gearing up to join
the project as a 50% partner, Hyperdynamics' share of the remaining
funding needed is now estimated at $15-20
million. The Fatala prospect alone has an estimated mean
recoverable resource of 647 million barrels of oil based on a 2016
Netherland Sewell report, with an estimated 31% chance of
success."
About Hyperdynamics
Hyperdynamics is an emerging independent oil and gas exploration
company that is exploring for oil and gas offshore the Republic of
Guinea in West Africa. To find out more, visit our
website at www.hyperdynamics.com.
Forward Looking Statements
This News Release contains "forward-looking statements" within
the meaning of Section 27 A of the Securities Act of 1933, as
amended, and Section 21 E of the Securities Exchange Act of 1934,
as amended. Forward-looking statements include statements
concerning plans, objectives, goals, strategies, expectations,
future events or performance and underlying assumptions and other
statements which are other than statements of historical facts.
Forward-looking statements generally can be identified by the use
of forward-looking terminology such as "may," "will," "expect,"
"plan," "project," "anticipate," "estimate," "believe," or "think."
Forward-looking statements involve risks and uncertainties which
could cause actual results or outcomes to differ materially from
those expressed in the forward-looking statements. We assume no
duty to update or revise our forward-looking statements based on
changes in plans or expectations or otherwise.
Contacts:
Ray Leonard
President and Chief Executive Officer
713-353-9445
Anne Pearson/Jack
Lascar
Dennard-Lascar Associates
713-529-6600
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SOURCE Hyperdynamics