Name and Location
Songo Songo gasfield Phase 1 expansion project, Tanzania.

Client
PanAfrican Energy Tanzania, a wholly owned subsidiary of Orca Exploration Group.

Project Description
The Songo Songo gasfield is located onshore and offshore of Songo Songo Island, about 20 km off the coast of Tanzania. The field contains an estimated 1.7-trillion cubic feet of original gas in place and has been in production since 2004. The gasfield currently produces an estimated 91-million standard cubic feet a day (MMcfd), which is less than the existing Songas infrastructure capacity of about 102 MMcfd.

To fill the existing Songas infrastructure to capacity and provide operational redundancy, the company is considering a first phase offshore development, comprising the refurbishing of the SS-5 and SS-9 wells that are currently suspended, refurbishing the SS-7 well, and drilling a new offshore development well – SS-12. The refurbishments, if successful, will use the existing platform and flow lines. If the refurbishments are deemed unfeasible or prove to be unsuccessful during the refurbishment operation, the wells will be either side-tracked or abandoned and new wells drilled to replace the old wells.

Value
The first phase of the project is expected to cost about $120-million.

Duration
The Phase 1 expansion is expected to start in the third quarter of 2015 and be completed in the first quarter of 2016.

Latest Developments
None stated.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Orca Exploration Group investor relations, Robert Wynne (CFO), tel + 255 22 2138737, fax + 255 22 2138938 or email rwynne@orcaexploration.com.