Orca Exploration Completes Drilling Program of Songa Songa Field in Tanzania

Orca Exploration has announced the successful completion of its offshore workover and drilling program of Songo Songo main field in Tanzania.

The offshore programme of the Songo Songo main field development included workovers on three existing wells (SS-5, SS-7 and SS-9) and the drilling of one new development well, SS-12. Phase 1 of the development programme also includes the completion of the SS-12 production platform, flowlines and tie-in facilities connecting SS-12 to the company's gas processing facilities and a refrigeration system required to ensure field production stability to enable the company to produce wells into the newly built National Natural Gas Infrastructure Project (NNGIP).

The offshore programme has successfully increased production capacity from approx. 83 million standard cubic feet per day (MMscfd) prior to the development programme to current production capabilities of approx. 150 MMscfd. Upon completion of the platform for SS-12 and the tie-in to production facilities, production capabilities are expected to be in excess of 185 MMscfd. The field is now capable of both filling the existing Songas infrastructure to capacity of approx. 102 MMscfd, as well as providing additional gas volumes to the NNGIP.

The company is currently negotiating terms for the sales agreement to the NNGIP with the Tanzania Petroleum and Development Company (TPDC). Until the agreement is signed, the Company's production is limited by infrastructure and contractual constraints, producing an average of 90 MMscfd for the fourth quarter of 2015 and is expected to average 94 MMscfd in 2016.

Orca currently supplies gas primarily for power generation to the Tanzania Electric Supply Company (TANESCO), Songas, and 38 industrial customers in the Dar es Salaam area.