Europa Oil & Gas (Holdings)
plc / Index: AIM / Epic: EOG / Sector: Oil & Gas
24 May 2018
Europa Oil &
Gas (Holdings) plc (‘Europa’ or ‘the Company’)
Update on offshore
Ireland portfolio
Europa Oil & Gas (Holdings) plc, the UK and Ireland focused exploration, development and
production company, is pleased to provide the following update on
its industry-leading and highly diversified portfolio of prospects
across its seven licences and licensing options (‘LO’) in Atlantic
Ireland, which covers three basins and six play types. This update
includes the Company’s flagship Inishkea prospects on LO 16/20 near
the Corrib gas field in the Slyne Basin.
Slyne Basin: LO 16/20
Europa is concentrating its efforts on LO 16/20 which is
immediately adjacent to the Corrib gas field and in particular to
mature the Inishkea prospects to drill ready status. 3D
seismic reprocessing to pre-stack depth migration (‘PSDM’)
commenced in March 2018 and is
expected to be completed in Q4 2018 with a drilling decision and
drill location following shortly thereafter, subject to partnering
and/ or funding.
In parallel with the reprocessing project Europa has
commissioned drilling and environmental specialists to engage with
the various Irish regulatory agencies and establish the technical
and regulatory pathways to enable Europa’s flagship Inishkea
prospects to be drilled with a target of 2019.
The six gas prospects and leads in LO 16/20 that have been
mapped by Europa on legacy 3D seismic data, are lower risk, in
comparatively shallow water, close to gas infrastructure and with
potential combined undiscovered gas initially in place (GIIP) of
2.5 TCF, represent a substantial volume of gas.
South Porcupine Basin
Technical work continues across Europa’s four licences in the
South Porcupine basin. PSDM reprocessing of 3D seismic over FEL
1/17, 3/13 and 2/13 has been completed on schedule and on budget.
Interpretation of the new data and creation of an updated
prospect inventory is underway. The updated prospect inventory for
FEL 3/13 will be announced during Q2 2018. FEL 1/17 and 2/13 will
follow in due course.
Slyne Basin: LO 16/21
Following completion of the agreed work programme, including a
full technical assessment, Europa has concluded that the
prospectivity of its LO 16/21 in the Slyne Basin of Atlantic
Ireland is limited. Europa believes that LO 16/21 would compete
poorly with other prospects in Atlantic Ireland and is unlikely to
attract drilling funds in the short to medium term. On this basis,
Europa has decided to relinquish LO 16/21. Relinquishment has
been approved by the Irish Minister for Communications, Climate
Action and Environment will become effective from 30 June 2018.
Relinquishment of LO 16/21 will have no impact on the Europa
portfolio with gross mean un-risked prospective resources across
Europa’s six licences remaining at 4.7 billion boe and 2.5 TCF
undiscovered GIIP. With six licences (five operated) and
4,986 km2 under licence Europa remains one of the
leading companies in Atlantic Ireland. Further information on
Europa’s Irish portfolio can be found on its website
https://bit.ly/2ws8KTL .
Hugh Mackay CEO said: “Europa is focussed on taking the
Inishkea prospects in LO 16/20 to drill ready status and is
actively investigating the feasibility of drilling what could be a
company-making exploration well in 2019 or 2020. We will not
hesitate to exercise technical and commercial judgement and
rationalise the portfolio where required. Having fulfilled
our work programme on LO 16/21, we have elected to relinquish and
concentrate our technical resources on the remaining six very high
impact exploration licences in our Atlantic Margin portfolio.
We have one of the largest operated acreage positions in
Atlantic Ireland built through first mover advantage against strong
competition from the majors. We are working hard to maximise the
value of this outstanding position and I look forward to updating
our investors with progress towards this goal.”
The information communicated in this announcement contains
inside information for the purposes of Article 7 of the Market
Abuse Regulation (EU) No. 596/2014.
* * ENDS * *
For further information please visit 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 |
Emily Morris |
finnCap Ltd |
+ 44 (0) 20 7220 0500 |
Frank Buhagiar |
St Brides Partners Ltd |
+ 44 (0) 20 7236 1177 |
Susie Geliher |
St Brides Partners Ltd |
+ 44 (0) 20 7236 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 2017 Europa produced 113 boepd. Its highly prospective
exploration projects include the Wressle development in the UK
(targeting production start-up in 2018 at 500 bopd gross) and six
licences offshore Ireland with the
potential to host gross mean un-risked prospective resources of 4.7
billion barrels oil equivalent and 2.5 tcf undiscovered GIIP across
all six licences.