umc energy plc (U8M) Snapshot

UMC Energy plc provided update shareholders of the results of an independent technical and prospectivity review of the two onshore Petroleum Prospecting Licences (PPL) 378 and 405. Gini Energy Ltd. has a 100% interest in these highly prospective permits. UMC Energy holds a 30% interest in Gini, with CNOOC Ltd. holding a 70% interest. While CNOOC is the operator of the permits, UMC and its consultants continue to provide key technical support to the joint venture. Under the shareholders agreement between UMC Energy and CNOOC Ltd, CNOOC is required to fund all exploration and appraisal expenditure up to commercial development by way of an interest free non-recourse loan to Gini. In relation to PPL 378, there are two separate parts of this permit, PPL378 (west) and PPL378 (east). The company has previously announced Contingent Resource values for the Paua structure in PPL378 (west), noting that only the forelimb of the structure was penetrated by the Paua-1 well. The C1 and C2 Contingent Resource values announced on November 19, 2012 only include the likely recoverable resources intersected by the Paua-1 well. The prospectivity review of PPL378 (west) identified two untested structures, Paua back-limb and Poro. Probabilistic volumes of potential resources calculated by Monte Carlo simulations have provided the following values within the permit. The prospectivity review of PPL378 (east) identified two untested structures, Lead A and Lead B. Probabilistic volumes of potential resources calculated by Monte Carlo simulations have provided the following values within the permit. In relation to PPL 405, Prospective Resource values have previously been announced for the Wasuma structure, where a 5m gross oil column was intersected in the Iagifu B sands by the Wasuma-1 well, drilled in 2010. The prospectivity review of PPL405 has also identified three untested structures, Lead C, Warra Deep and Lead D. Probabilistic volumes of potential resources calculated by Monte Carlo simulations have provided the following values of these three untested leads within the permit.

UMC Energy plc announced the appointment of Mr. Robert Cleary as Non-Executive Director of the company, with immediate effect. Mr. Cleary was employed for 18 years by the Rio Tinto/North Ltd/Energy Resources Australia Ltd. group. His last position with that organisation was Managing Director of Energy Resources of Australia Ltd. from July 1999 to January 2004. Since 2004, Mr. Cleary has continued to be involved in the international mining industry through his role as a director of a number of mining companies, as well as industry consultant.

UMC Energy plc announced the appointment of Dr. Christopher Hart as Technical Director of the company, with immediate effect. This appointment to the Board follows the provision by Mr. Hart of technical and commercial advisory services to the company in relation to its upstream petroleum activities in Papua New Guinea since September 2011. Mr. Hart's involvement in the upstream oil and gas industry began in the late 1980s and, during the past 24 years, he has served as both director and executive director for a number of listed companies, including Bass Strait Group NL, Timor Sea Petroleum NL, Octanex NL and MEO Australia Ltd. In addition, Mr. Hart has acted in a consultancy capacity to various oil and gas companies, including Cue Energy, Boral Energy Ltd. (now Origin Energy Australia) and Mineralogy.