(Alliance News) - Independent Oil & Gas PLC on Friday said it is "progressing its stated plans" in its UK North Sea assets despite recent volatility in the oil market.
The company said it has "agreed in principle" to buy "two subsea wellheads, trees and associated equipment".
"Following a competitive process, IOG has selected an established Well Management Company to support its Phase 1 drilling campaign, which consists of three wells at the Southwark field, one at Blythe and one at Elgood. This contractor is assisting IOG's in-house team on detailed well planning, design and regulatory processes, and will function as Well Operator for the Phase 1 wells," the company added.
Independent Oil continued: "Proposals from several well-known rig contractors are undergoing technical and commercial evaluation as part of a competitive tender process for the Phase 1 jack-up drilling rig. Detailed commercial discussions are planned over the coming weeks, with commodity price volatility likely to improve the competitive landscape for rigs and offshore services."
Shares in the company were 11% higher at 13.00 pence each in London on Friday afternoon.
By Eric Cunha; ericcunha@alliancenews.com
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