Last checked at 20 Dec 2023 07:00
20 December 2023
Orcadian Energy plc
("Orcadian Energy", "Orcadian" or the "Company")
Publication of Circular
Notice of General Meeting
Further to the announcement of 7 December 2023, Orcadian is pleased to confirm it has now dispatched a circular, to convene a general meeting of the Company, in order to seek shareholders' approval for the proposed disposal of a 81.25% interest in Licence P2244 to Ping Petroleum UK plc, (the "Disposal") (the "Circular").
The Disposal is a fundamental disposal pursuant to Rule 15 of the AIM Rules for Companies and accordingly is conditional on shareholder approval.
The General Meeting of the Company will be held at the offices of Shakespeare Martineau, 60 Gracechurch Street, London, EC3V 0HR at 11:00am on the 17thJanuary 2024.
A copy of the Circular will be available on the Company's website at https://orcadian.energy/investors/corporate-documents/ with effect from today.
For further information on the Company please visit the Company's website: https://orcadian.energy
Orcadian Energy plc | + 44 20 7920 3150 |
Steve Brown, CEO Alan Hume, CFO | |
WH Ireland (Nomad and Broker) | +44 20 7220 1666 |
Katy Mitchell / Andrew de Andrade (Nomad) Harry Ansell / Fraser Marshall (Corporate Broking) | |
Tavistock (PR) | + 44 20 7920 3150 |
Nick Elwes / Simon Hudson | orcadian@tavistock.co.uk |
About Orcadian Energy
Orcadian is a North Sea focused, low emissions, oil and gas development company. In planning its Pilot development, Orcadian has selected wind power to transform oil production into a cleaner and greener process. The Pilot project is moving towards approval and will be amongst the lowest carbon emitting oil production facilities in the world, despite being a viscous crude. Orcadian may be a small operator, but it is also nimble, and the Directors believe it has grasped opportunities that have eluded some of the much bigger companies. As we strike a balance between Net Zero and a sustainable energy supply, Orcadian intends to play its part to minimise the cost of Net Zero and to deliver reliable energy to the UK.
Orcadian Energy (CNS) Ltd, Orcadian's operating subsidiary, was founded in 2014 and is the sole licensee of P2244, which contains 78.0 MMbbl of 2P Reserves in the Pilot discovery, and of P2482, which contain a further 52.2 MMbbl of 2C Contingent Resources in the Elke and Narwhal discoveries (as audited by Sproule, with both numbers modified to take into account the TGS royalty, see the CPR in the Company's Admission Document for more details). Within these licences there are also 118 MMbbl of unrisked Prospective Resources (modified for TGS royalty). These licences are in blocks 21/27a, 28/2a and 28/3a, and lie 150 kms due East of Aberdeen.
Pilot, which is the field with the largest reserves in Orcadian's portfolio, was discovered by PetroFina in 1989 and has been well appraised. In total five wells and two sidetracks were drilled on Pilot, including a relatively short horizontal well which produced over 1,800 bbls/day on test. Orcadian's proposed low emissions, field development plan for Pilot is based upon a Floating Production Storage and Offloading vessel (FPSO), with over thirty wells to be drilled by a Jack-up rig and provision of power from a floating wind turbine.
Orcadian has entered into a conditional sale and purchase agreement with Ping Petroleum UK plc ("Ping") which details the terms under which Ping will farm-in to the Pilot development project. Upon conclusion of this deal Orcadian would have an 18.75% stake in the Pilot development with all pre-first oil development costs paid by Ping.
Emissions per barrel produced are expected to be about a tenth of the 2021 North Sea average, and less than half of the lowest emitting oil facility currently operating on the UKCS. On a global basis this places the Pilot field emissions at the low end of the lowest 5% of global oil production.
-ends-