Gediminas Jasionis
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Africa Oil Corp. (CVE:AOI) (PINK:AOIFF) Gets Some More Bullish Action

by Gediminas Jasionis May 9, 2012
1 Comments
aoi_chartAfrica Oil Corp. (CVE:AOI) (PINK:AOIFF) share price slipped higher on a bullish note today still carrying the weight of the recent additional oil discoveries in Kenya.

AOI stock continues to gain value today and already secured 10% during the first half of the session. The trading activity is over the top as well - 2.8 million shares changed hand thus far, which is already significantly above the daily average turnover of 1.5 million.

The stock got very popular a couple of days ago when the company announced to have found additional oil on their Ngamia-1 well in Kenya. Africa Oil holds a 50% working interest in the block, with the remaining 50% belonging to Tullow Oil Plc. (LON:TLW).

82africa_oil_logo.jpgFour good quality oil bearing reservoirs were discovered after drilling additional 500 meters to a total depth of 1,041 meters. That's roughly a third of the total depth planned for this well.

The stock has been in focus for an extended time already because of the company's properties in East Africa, which sit on the Great Rift Valley, promising large bearings of oil underneath. The findings in Kenya are a big step since no commercial discoveries have been made there thus far.

Comments (1)

1. Guest
May 10, 2012, 02:04PM

Quotes "Four good quality oil bearing reservoirs were discovered after drilling additional 500 meters to a total depth of 1,041 meters. That's roughly a third of the total depth planned for this well."

No, the first zone (20m) was found at about 1040m. After that, they've drilled another 500-or so after that finding over 100m of total net pay. They have rougly 1000m left to target around 2700. Please don't post this, do SOME reading before.

Source from their latest NGAMIA-1 PM:
"The Ngamia-1 exploration well in Kenya has now been deepened to a total depth
of 1515 meters and has encountered in excess of 100 meters of net oil pay in
multiple reservoir zones over a gross interval of 650 meters"

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