Europa Oil & Gas (Holdings) PLC Update on Wressle Discovery, Onshore UK

 
TIDMEOG 
 
Europa Oil & Gas (Holdings) plc / Index: AIM / Epic: EOG / Sector: Oil & Gas 
 
22 October 2015 
 
          Europa Oil & Gas (Holdings) plc ('Europa' or 'the Company') 
 
                    Update on Wressle Discovery, Onshore UK 
 
Europa Oil & Gas (Holdings) plc, the AIM quoted oil and gas company with 
producing and exploration assets in Europe, is pleased to note today's update 
from Egdon Resources ('Egdon') regarding the decision to proceed with the 
development of the Wressle oil and gas discovery ('Wressle') on Licence 
PEDL180, with first oil anticipated in H2 2016, subject to receipt of all 
required consents.  Europa has a 33.3% working interest in PEDL180, which lies 
on structural trend with and 5 km from the Europa operated Crosby Warren field 
in East Lincolnshire, alongside Egdon (operator, 25%), Celtique Energie 
Petroleum Ltd (33.3%), Union Jack Oil (8.3%). 
 
Following the completion of the Extended Well Test ('EWT') operations at 
Wressle in September 2015, a detailed review of all data gathered to date has 
been carried out.  Based on the quality of this work, the partners have decided 
to bring forward the submission of the Field Development Plan ('FDP') to Q1 
2016, rather than undertake further time-consuming and costly testing 
operations on both the Ashover Grit and Penistone Flags intervals, as had been 
originally intended.  In parallel with the submission of the FDP to the Oil and 
Gas Authority ('OGA'), the relevant planning and permitting applications will 
be submitted to North Lincolnshire Council and the Environment Agency. 
 Drilling and test data from the Wressle-1 well together with reprocessed 3-D 
seismic data will be used to compile the FDP and also to quantify the 
developable resource volumes at Wressle. 
 
As previously reported the measured flow rates of 80 barrels of oil per day 
('bopd') in the Ashover Grit were affected by localised near well bore 
formation damage known as a high 'Skin factor', and are not representative of 
the flow rates that could be attained from this interval when fully 
'cleaned-up'.  Reservoir engineering analyses of the well test pressure and 
production data indicates that initial production rates in excess of 500 bopd 
could be achieved by successfully countering the effects of the 'Skin'.  As a 
result, plans for the development of Wressle will include a tool-kit of 
operations and procedures designed to mitigate the impact of the 'Skin' on 
production rates.  These will form part of the initial workover programme for 
the well to prepare it for long term production. 
 
Production from the Wressle oil and gas discovery will follow a phased 
development initially focussing on the Ashover Grit oil reservoir. 
 
Europa's CEO, Hugh Mackay, said "We are highly encouraged that reservoir 
engineering analyses indicate initial production rates in excess of 500 bopd 
could be achieved from the Ashover Grit interval at Wressle.  Were production 
to come in at or around this level, our 33% interest in the field would 
transform our existing production, reserves and revenue profile.  Thanks to the 
quality of the data we have gathered, we are able to fast track the submission 
of the FDP with an anticipated target for first oil at Wressle in H2 2016." 
 
                                 * * ENDS * * 
 
For further information please visit http://www.europaoil.com/ or contact: 
 
Hugh Mackay       Europa                        + 44 (0) 20 7224 
                                                3770 
 
Phil Greenhalgh   Europa                        + 44 (0) 20 7224 
                                                3770 
 
Matt Goode        finnCap Ltd                   + 44 (0) 20 7220 
                                                0500 
 
Simon Hicks       finnCap Ltd                   + 44 (0) 20 7220 
                                                0500 
 
Frank Buhagiar    St Brides Partners Ltd        + 44 (0) 20 7236 
                                                1177 
 
Lottie            St Brides Partners Ltd        + 44 (0) 20 7236 
Brocklehurst                                    1177 
 
Notes 
 
Europa Oil & Gas (Holdings) plc has a diversified portfolio of multi-stage 
hydrocarbon assets that includes production, exploration and development 
interests, in countries that are politically stable, have transparent licensing 
processes, and offer attractive terms.  In 2015 Europa produced 141 boepd 
generating GBP2.2 million in revenues and contributing to corporate overheads and 
some exploration expenditure.  Its highly prospective exploration projects 
include the Wressle discovery in the UK; 100% owned gas exploration prospect 
(107 bcf) and appraisal project (CPR 277 bcf) in onshore France a joint venture 
with Vermillion Energy also in onshore France; and two licences in offshore 
Ireland with the potential to host gross mean un-risked Prospective Resources 
approximately 1.7 billion barrels across both licences. 
 
Qualified Person Review 
 
This release has been reviewed by Hugh Mackay, Chief Executive of Europa, who 
is a petroleum geologist with 30 years' experience in petroleum exploration and 
a member of the Petroleum Exploration Society of Great Britain, American 
Association of Petroleum Geologists and Fellow of the Geological Society. Mr 
Mackay has consented to the inclusion of the technical information in this 
release in the form and context in which it appears. 
 
 
 
END
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