Sound Advances in Morocco, Raises Cash

North Africa-focused UK-based explorer Sound Energy said November 24 its second well at Tendrara in northeast Morocco (TE-7) achieved a constrained gas flow of 32mn ft³/d “significantly above pre-drill expectations” and that its potential is predicted to be well above 40mn ft³/d. It was spudded last month.

On November 25 the company announced that its rights issue has raised a total of £26.9mn ($33.5mn). The previous day institutionally underwritten offers had raised £24.1mn of that; excess applications later increased that interim total to £26.9mn. Dealings in new shares are expected to begin November 30.

Sound CEO James Parsons (Photo credit: Sound Energy)

Its next well will test a deeper horizon at the Tendrara field. Sound CEO James Parsons said: “My team and I look forward to the results of the extended well test and the finalization of plans for our first outpost well, TE-8."

Mark Smedley