Tuskar Resources, the oil and gas exploration company, has signed a contract to start drilling the first development well on the Obe Oil field, off Nigeria.

Drilling using the Global Marine operated Falrig 83 is expected to begin in mid April. The Obe field is located in shallow waters in the "OML concession" which covers an area of approximately 240,000 acres in the Niger Delta.

Previous exploration wells on the field, Obe 1 and Obe 3 have respectively produced oil at 3,500 and 1,850 barrels per day from separate zones which will be targeted for dual completion for development purposes. Tuskar will fully fund the drilling programme through an extension of the existing loan agreement with Camac/Allied Energy group.