http://www.investegate.co.uk/red-empero ... 0000P8531/
2 March 2015
Red Emperor Resources NL
Farmin Agreement Signed With Otto Energy and Appendix 3B
The Board of Red Emperor Resources NL ("Red Emperor" or the "Company") is
pleased to announce that it has signed a Farmin Agreement (the "Agreement")
with Otto Energy Philippines Inc. (a wholly owned subsidiary of Otto Energy
Ltd, ASX: OEL) to farm in to the highly prospective offshore Philippines Block,
SC55.
Highlights
* Red Emperor to earn a 15% working interest in offshore Philippines Block,
SC55, by participating in the upcoming Hawkeye-1 exploration well that will
test the significant hydrocarbon potential of the Southern Palawan Basin.
* Hawkeye-1 is expected to be drilled early in Q3 2015 and is targeting a
structure assessed to contain in excess of 100MMbbls of Gross Best Estimate
Prospective Resources (~15MMbbls net to RMP).
* Independent report from Jordon & Pay Exploration Consultants describes the
prospect as a "robust, attractive exploration target with a good geological
chance of success" (32%), with the operator indicating Gross Prospective
Resource of up to 401MMbbls (High Case - 51MMbbls net to RMP).
* The Hawkeye prospect is covered by extensive and high quality 3D seismic,
which indicates the strong chance of a gas cap sitting above a sizeable oil
leg (>100m).
* Commercial success in the Hawkeye well would unlock a significant region
for exploration, the heart of which is covered by Block SC55.
* A further drill ready gas target (Cinco) also exists within Block SC55,
assessed by the Operator to have Gross Best Estimate Prospective Resources
of 1.6Tcf (208 Bcf net RMP) of recoverable gas.
* Red Emperor to complete A$2.13m placement leaving the Company fully funded
to participate in the Hawkeye-1 exploration well and other potential
opportunities.
