PCI.L Regulatory News (PCI)

15 Oct 2007 08:28

Petroceltic International PLC15 October 2007 PETROCELTIC ACQUIRES BG GROUP UPSTREAM ASSETS IN ITALY Petroceltic International plc is pleased to announce that it has entered into anagreement with BG Gas International BV Italian Branch ("BG Italia") a subsidiaryof BG Group PLC to acquire BG Italia's interests in five Exploration Permits inthe prolific Po Valley onshore gas basin. The interests in these permits varyfrom 50 per cent to 95 per cent. In addition, Petroceltic has agreed to acquireinterests in two Exclusive Permit Applications from BG Italia, one in the PoValley and one offshore in the Sicily Channel in Southern Italy. HIGHLIGHTS: • Inventory of prospects with estimated unrisked recoverable resources in excess of 1 TCFe (trillion cubic feet gas equivalent) • Ready to drill prospects for 2008, defined by extensive 3D seismic database • Four operated permits; partners include major international oil & gas companies • More than doubles Petroceltic's acreage position in Italy to over 6, 600 square kilometers • Complements Petroceltic's existing oil dominated prospect inventory in the Central Adriatic area, with a gas dominated prospect portfolio in the Po Valley Basin . The acquisition achieves significant portfolio diversification for Petrocelticwith exposure to new hydrocarbon plays generated by over 750 km2 of 3D seismicalready acquired and processed in the permit areas. Included in the package is asignificant legacy database with additional 3D seismic data. Completion, subject to the usual regulatory approvals, is anticipated beforeyear end. Petroceltic's CEO, John Craven, commented: "Petroceltic has availed of a unique opportunity to acquire a strategic positionin the mature Po Valley Basin, Italy's largest gas province. Drillable gasprospects in this portfolio have already been matured via 3D seismic acquisitionand interpretation. I am also confident that additional hydrocarbon prospectswill be generated by the legacy database, particularly as it includes a numberof 3D seismic surveys. We are delighted to be expanding our area of interest in Italy, and look forwardto advancing a drilling programme there in 2008" Press Enquiries to:John Craven /Brian O'Cathain, Petroceltic Tel: +353 (1) 495 9285James Henderson / Alisdair Haythornthwaite, Pelham PR Tel: +44 20 7743 6676Joe Murray, Murray Consultants Tel: +353 (1) 4980300 John Craven, Chief Executive, Petroceltic International plc, is the qualifiedperson who has reviewed and approved the technical information contained in thisannouncement. John holds a B.Sc. in Geology from The Queens University ofBelfast, and an M.Sc in Petroleum Geology from Imperial College London, and hasover 20 years experience in oil & gas exploration and production. Definitions inthis press release are consistent with Society of Petroleum Engineersguidelines. Notes to Editors: Petroceltic International plc is a leading Upstream Oil and Gas Exploration andProduction Company, focused on the Mediterranean and North African area, andlisted on the London Stock Exchange's AIM Market and the Irish Sock Exchange'sIEX Market. The company has exploration assets in Algeria, Tunisia and Italy anda royalty interest in the Kinsale Head gas field in Ireland. Petroceltic is ina unique position in Algeria, operating a significant licence in partnershipwith Sonatrach the state oil company, one of only three AIM listed companies toenjoy this position. List of Italian Permits acquired from BG: A map illustrating the location of these permits is available onwww.petroceltic.ie Permit Name % Interest Km2Carisio* 95% 745Trino* 50% 708Casalnoceto* 75% 373Vercelli* 50% 718Torrente Nure 55% 580 Permit Application NameCase Sparse* 100% 24Licata (d346C.R-EA) 37.5% 268 *Operated Permits This information is provided by RNS The company news service from the London Stock Exchange