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Tower Resources is an AIM-listed, London-based, independent oil and gas exploration company with a regional focus on sub-Saharan Africa. The company held 100 per cent licences in Namibia and Uganda, parts of which it has farmed out, through its two operating subsidiaries, Neptune Petroleum (Namibia) and Neptune Petroleum (Uganda).

Uganda is one of the exploration hotspots at the moment and Tower will be hoping that the current run of success experienced by other in-country explorers continues into its acreage. Namibia is less advanced but on the basis of technical work done so far some very large structures will be targeted for further investigation.


Onshore Block EA5 in northern Uganda extends over 6,000 sq kms and is at the northern end of the Albertine Graben. A regional gravity and magnetic survey has identified that Block EA5 contains one of the five identified sedimentary depocentres (or basins) within the Albertine Graben. EA5 contains the Rhino Camp Basin.


Tower believes that some considerable encouragement can be drawn from the significant discoveries, drilled by Hardman (which was taken over by Tullow) in Block 2, some 150 km to the south of Block 5 and the significant Kingfisher discovery further south in Block 3. Further appraisal of these discoveries is ongoing but they are multi-million barrel finds.


Furthermore, 200 km to the north of Block 5, the tertiary shales of the Muglad rift basin of Sudan have been shown to be a major source of oil in the Unity and Heglig fields. It would seem unlikely that the Rhino Camp Basin would, therefore, be devoid of potential source rocks.


There is considerable anecdotal evidence to support the seepage of oil to surface within the Licence and surveys are continuing to establish the physical evidence of this.


Tower is well advanced with its plans for this asset. An agreement with US group Orca Exploration provides for Orca to repay 83.33 per cent of past costs and to fund 83.33 per cent of future costs related to current seismic. Their share of seismic costs is capped at US$5 million based on the current planned size of the programme. Orca then has an option to participate in the two well commitment programme, becoming a 50 per cent licensee on making that commitment, providing 83.33 per cent of the cost of the two wells. There are agreed caps on Orcas share of the well funding - US$10 million for drilling costs and US$5 million for any testing operations.


The programme is to record 285 kilometres of 2D seismic (this is shallow, tertiary territory). Once prospective targets are identified it is planned to drill two wells in 2008.


In Namibia, Tower had 100 per cent of Blocks 1910A, 1911 and 2011A, offshore Namibia, which covers a vast area of approximately 22,000 sq kms in water depths ranging from 200 to 3,000 metres. This amounts to one block and two contiguous part blocks. This is real frontier territory and Towers plans are less advanced here than in Uganda.


These blocks are little drilled, although Norsk Hydro drilled two wells, both of which turned out to be dry holes. Tower has been looking elsewhere in the north of the licence.


Tower has concluded a farm out agreement with Arcadia Petroleum. Under the terms of the farm out agreement Tower retains a 15 per cent stake carried through a programme of 2D and 3D seismic and two wells. In the event that the farminee, or any assignee of their rights and obligations, opted not to pursue the full programme, the full licence interest would revert to Tower.


So far a 700 km programme of 2D seismic has been completed and will now be subject to AVO analysis. It is hoped that a further 3D seismic programme will be completed by the end of 2008. The structures involved are huge, possibly containing multi tcf prospects.

20% of zero = zero!

cynic are you any good at math? sp currently 1.55-1.65p, missed the boat again!

got to get to 5p+ for me to miss the boat.

cynic up a further 15% doesn't it make you sick!

nope; why should it?
much happier to be holding the likes of GPX for which there is a proper market

cynic sorry we forgot you only choose shares that suit your opinion don't discount other opportunities which may also give good returns..... to each his own.

i've already lost money on TRP when i allowed myself to get suckered in, so why would i want to do so again?
i could also have bought CHAR at 80+ and made another loss

but heaven forfend that i should deter you

glad i topped up at 1.4 Happy days.

topped UP!! i'll be glad to see 5p and break even..lol

Good time to average it down. Go on you know it makes sense. lol

It's loose talk like that, that gets me into trouble... thank goodness no funds available at the mo...lol

There's all still to play for at Tower Resources

Article Created: Friday, Apr 23 2010 by Elias Jones 0 comments . Tower Resources Oil & Gas Oil Exploration Resources

Tower Resources (LON:TRP) , the AIM listed oil and gas exploration company with interests principally in Uganda and Namibia, is about to embark on a third exploration period within Block 5 of the Ugandan Albertine Basin and the eagerly anticipated 3D seismic study in Namibia.

To date, Tower Resources through its subsidiary Neptune have drilled two wells located in Ugandas Exploration Area 5 (EA5). Both wells were a major disappointment to its shareholders by not proving a commercial find but they have increased significantly Tower's understanding of the basin and its complex geology. The main encouragement from the two wells is that they have significantly de-risked the area in terms of generation and migration of oil. Along with surface seeps within EA5, the first well named lti-1was appraised to have the potential to contain oil in a 15-20m interval within a 35m gross basal sandstone reservoir located on the basement. [1] The results of the second well, Avivi-1, are believed to contain a composition of thick sequences of organic rich sediments similar to that previously encountered within the area. [2]

With the indicators to date suggesting that the oil migration in the area is deviating from mature source rocks in the deeper areas of the basin, the first priority for Tower within the forward programme will be to increase its seismic coverage and geographical appraisal of EA5, for an improved chance of hitting the sweet spot next time around. The major achievement for Tower has been proving evidence that oil generation has been found within the exploration area which has generated third party interest for participation in the extended period, with most of the funding likely to come from the project partners. [2] Following the Avivi-1 Peter Kingston, Tower's Executive Chairman commented:

The Tower Board has had no hesitation in deciding to continue with its exploration programme in Uganda for another two years. In particular, it is pleased that there is growing evidence of the presence of mature oil in the EA5 Licence. This is typical exploration progress, with valuable information being gained from each phase of activity which suggests that there is still everything to play for. The Board is also encouraged that exploration in Namibia is moving closer to well drilling programmes and the ultimate test of exploration potential in the area.

Something happening. leek? Back in profit. yeeeeaaah

Patience will be the reward.

nice rise today, am nearly back in profit.,.

see the privaliged people as always privy to the info days ago before us meer pi`s

Serves you lot right for investing in penny shares. You should know better! ;o)
Take the money & run is my advice.

did say nearly....bit to go yet. lol

I'm always cautious about insider trader with Trp, they always know when
bad news is coming but at the moment there is a regular stream of 500k
buys in this, not sure if there is a imminent drilling update due but the trades
do look suspicious.

Presentation this week.