Tower Resources awarded further extension of First Exploration Period of the Thali PSC in Cameroon
The Government of the Republic of Cameroon has notified Tower Resources Cameroon SA (TRCSA), that the President of the Republic has approved a further extension of the First Exploration Period of the Thali license (the PSC), and the Company is now awaiting a formal confirmation from the Minister of Mines, Industry and Technological Development of the details of the extension. As previously announced, the Company declared Force Majeure in March 2020 in respect of the First Exploration Period of the PSC, in light of the restrictions required to combat the Covid-19 pandemic.
The logistics involved in coordinating personnel and equipment from multiple service providers and locations (as required for an appraisal well with extensive testing) remain challenging, but the Company has a plan to complete drilling of the NJOM-3 well safely in the present circumstances. The Company intends to finalise a schedule with the multiple service companies involved, although this still depends on pandemic developments and the individual service companies' circumstances. But a formal extension of the First Exploration Period is an important element of finalising a schedule as it reduces the uncertainty associated with relying on the current state of Force Majeure, as well as underscoring the support of the Republic of Cameroon for the Thali project.
The Company also reminds investors that it will be reviewing the payment of director fees for the second quarter after the market close today, as usual at the end of a calendar quarter, and will also be reviewing long term incentive (share option) awards for 2021 at the same time.
Jeremy Asher, Chairman and Chief Executive Officer, Tower Resources: "We are grateful to the Republic of Cameroon for their continued support of the Thali project, and in particular to the President of the Republic, the Secretary General of the Office of the Presidency, and the Prime Minister for taking a direct interest in our activity, as well as the Minister of Mines, Industry and Technological Development and his staff and all the staff at the Societé Nationale de Hydrocarbures who have supported us during this First Exploration Period. We are looking forward to seeing the NJOM-3 well drilled as soon as possible, and we will notify investors when we have more material developments."