Last checked at 23 Nov 2022 07:00
Deltic Energy Plc / Index: AIM / Epic: DELT / Sector: Natural Resources
23 November 2022
Deltic Energy Plc ("Deltic" or "the Company")
Pensacola Well Operations Commenced
Deltic Energy Plc, the AIM-quoted natural resources investing company with a high impact exploration and appraisal portfolio focused on the Southern and Central North Sea, is pleased to announce that Shell UK Ltd ("Shell"), the Operator of Licence P2252, has confirmed that the Maersk Resilient rig has been safely installed on the Pensacola location and that drilling operations have now commenced.
Deltic has a 30% working interest in Licence P2252 which is located in the emerging Zechstein Reef play fairway in the Southern North Sea. Deltic estimates the Pensacola natural gas prospect to contain gross P50 Prospective Resources of 309 BCF.
The drilling operations are expected to last between 60 and 90 days and the well has been planned to be plugged and abandoned at the completion of operations. Deltic will update the market upon completion of operations.
Graham Swindells, Chief Executive of Deltic Energy, commented:
"We are excited to have commenced the well operations of our first exploration well on the Pensacola gas prospect. Pensacola is a high impact, potentially play opening prospect and represents what we hope will be the first of many wells as the Company continues to implement its strategy to identify opportunities and discover gas to support the UK's energy needs."
**ENDS**
For further information please contact the following:
Deltic Energy Plc | Tel: +44 (0) 20 7887 2630 |
Graham Swindells / Andrew Nunn / Sarah McLeod | |
Allenby Capital Limited (Nominated Adviser) |
Tel: +44 (0) 20 3328 5656 |
David Hart / Alex Brearley (Corporate Finance) | |
Stifel Nicolaus Europe Limited (Joint Broker) |
Tel: +44 (0) 20 7710 7600 |
Callum Stewart / Simon Mensley / Ashton Clanfield | |
Canaccord Genuity Limited (Joint Broker) Adam James / Gordon Hamilton
|
Tel: +44 (0) 20 7523 8000 |
Vigo Consulting (IR Adviser) | Tel: +44 (0) 20 7390 0230 |
Patrick d'Ancona / Finlay Thomson / Kendall Hill |
About Deltic Energy Plc
Deltic has created a strategically located portfolio of high-quality gas exploration licences in the Southern North Sea over a number of licensing rounds. These licences are located in areas that have been underexplored despite significant discoveries such as Tolmount, Breagh, Pegasus and Cygnus, most of which have gone on to be developed and could provide ready access to export infrastructure for any future developments on Deltic's licence acreage.
About Pensacola
Pensacola is a Zechstein Reef prospect located to the north west of the Breagh gas field in the Southern North Sea. Deltic estimates the prospect to contain gross P50 Prospective Resources of 309 BCF, with a 55% geological chance of success, which will rank Pensacola as one of the highest impact exploration targets to be drilled in the gas basin in recent years.
Glossary of Technical Terms
BCF: | Billion Cubic Feet of gas |
geological chance of success: | for Prospective Resources, means the chance or probability of discovering hydrocarbons in sufficient quantity for them to be tested to the surface. This, then, is the chance or probability of the prospective resource maturing into a contingent resource. Prospective Resources have both an associated chance of discovery (geological chance of success) and a chance of development (economic, regulatory, market and facility, corporate commitment and political risks). The chance of commerciality is the product of these two risk components. These estimates have been risked for chance of discovery but not for chance of development |
Prospective Resources: | Estimated volumes associated with undiscovered accumulations. These represent quantities of petroleum which are estimated, as of a given date, to be potentially recoverable from oil and gas deposits identified on the basis of indirect evidence but which have not yet been drilled |
P50: | a 50% probability that a stated volume will be equalled or exceeded |
Qualified Person's statement:
Andrew Nunn, a Chartered Geologist and Chief Operating Officer of Deltic Energy Plc, is a "Qualified Person" in accordance with the AIM Note for Mining, Oil and Gas Companies of the London Stock Exchange. Andrew has reviewed and approved the information contained within this announcement.