LONDON (Alliance News) - Oil and gas company RockRose Energy PLC said Wednesday that it has completed the acquisition of blocks 23/11a, 23/16b and 23/16c, which contains the Arran field in the UK Central North Sea.
The final investment decision was made by the joint venture partners to develop the Arran field, with Royal Dutch Shell PLC becoming the operator of the Arran project.
At peak production, Arran is expected to produce around 100 million standard cubic feet a day of gas and 4,000 barrels per day of condensate, equivalent to 21,000 barrels of oil equivalent per day.
In addition, an infill well within the A18 field has been spudded, which is expected to take 40 days to drill and complete at a net cost of EUR2.1 million funded from existing cash flow. The P50 recoverable volumes from the field are estimated to be 3.22 billion cubic feet of gas net to RockRose.
"The completion of the Arran acquisition and investment decision by the partners is a major milestone for RockRose as the first development project the company has participated in. The exploitation of infill drilling opportunities continues as part of our portfolio's evolution. All activity, including infill drilling, development projects and decommissioning is funded from cash flow," said Executive Chairman Andrew Austin.
Shares in RockRose Energy were down 0.7% at 566.00 pence on Wednesday.
