Heritage was appointed operator and awarded new Production Sharing Agreements ("PSAs") in Tanzania over the Rukwa Block in November 2011 and the Kyela Block in January 2012. In both of these areas the Company recognises certain geological similarities with the Albert Basin of Uganda, where Heritage has had previous experience and significant commercial success, thereby providing a material advantage in assessing this acreage. The work programme on Rukwa has commenced with the reprocessing of legacy 2D seismic data and the acquisition of further 2D seismic will start in August 2012. On the unexplored Kyela Block the acquisition of a high resolution gravity survey has been completed following which a seismic programme will be acquired.
As at 31 March 2012, Heritage had a cash position of approximately US$154million, excluding amounts related to the Uganda tax dispute of approximately US$405 million, which is more than sufficient to cover existing work programmes into 2013.
Tony Buckingham, Chief Executive Officer, commented:
"Operationally, Heritage is busy with its active work programmes. We remain focused on the monetisation of the world class Miran Field, targeting the phased development of the field, whilst also considering significant further value generating production opportunities in our core areas of Africa and the Middle East."