Last checked at 15 Feb 2017 12:34
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). Upon the publication of this announcement via Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain. If you have any queries on this, then please contact Steve Boldy, the Chief Executive Officer of the Company (responsible for arranging release of this announcement).
Lansdowne Oil & Gas plc
Relinquishment of Standard Exploration Licence ("SEL") 4/07, Offshore Ireland
16 February 2017
Lansdowne Oil & Gas plc ("Lansdowne" or "the Company"), the independent oil and gas company focused on offshore Ireland, announces the relinquishment of SEL 4/07, with effect from December 31st 2016.
Lansdowne retained a 20% interest in the licence after farming out to PSE Kinsale Energy Limited ("Kinsale Energy"), who acquired an 80% interest and operatorship and who drilled the 49/11-3 well on the Midleton Prospect in 2015. The well found gas in the Greensand, the main reservoir target, but the volume is considered too small to be commercial.
Kinsale Energy conducted a comprehensive post-well evaluation of the other prospective structures on the acreage, but concluded that, based on the current data available, none of these were attractive enough in terms of risk and reward to offer drillable targets.
A final report has been submitted to the Department of Communications, Climate Action and Environment and the Licence has been relinquished with effect from 31 December 2016, the end of the First Phase.
Commenting on the news, Lansdowne CEO Steve Boldy said:
"Midleton was considered the prime prospect on SEL 4/07 and following the disappointing results of the 49/11-3 well, it is not surprising that the conclusion has been reached to relinquish the acreage. This further portfolio rationalisation will allow Lansdowne to focus all its resources upon the Barryroe Field where we have substantial 2C resources "
For further information please contact:
Lansdowne Oil & Gas plc Steve Boldy
| +353 1 495 9259 |
Cantor Fitzgerald Europe Nominated Advisor and Joint Broker Sarah Wharry David Porter | +44 (0) 20 7894 7000 |
Beaufort Securities
Joint Broker +44 (0) 20 7382 8300
Jon Belliss
Notes to editors:
About Lansdowne
Lansdowne Oil & Gas (LOGP.LN) is a North Celtic Sea focussed, oil and gas exploration and appraisal company quoted on the AIM market and head quartered in Dublin. Lansdowne holds acreage in the shallow-water North Celtic Sea Basin, including a 20% stake in Exploration Licence SEL1/11 which contains the Barryroe oil field.
For more information on Lansdowne, please refer to www.lansdowneoilandgas.com
ABOUT BARRYROE
Barryroe, located in the North Celtic Sea Basin, off the south coast of Ireland, has had six wells successfully drilled on the structure. Hydrocarbons have been logged in all six wells, with flow test results from four wells. Four wells were drilled in the 1970's by Esso with a further appraisal well drilled in 1990 by Marathon Oil. The sixth well was drilled by Providence in 2011/12. The oil is light (43o API) with a wax content of c. 17-20%. The successfully tested reservoir sands are of Cretaceous Middle and Lower Wealden age located between c. 4,500' TVDSS and 7,550' TVDSS. The field is covered by both 2D and 3D seismic, the latter which was acquired in 2011.
Audited (NSAI/RPS) on block resources amount to 1.048 billion barrels in place, with an estimated P50 recoverable resources of 311 MMBO (plus associated gas). A further 778 MMBO barrels in place have been identified in incremental sands, though these sands have yet to be tested.