Lansdowne Oil & Gas plc, the oil and gas exploration and appraisal company, whose shares are quoted in London (AIM), reports that Providence Resources P.l.c. announced today that it has agreed a phased farm in by ABT Oil & Gas (“ABTOG”) into the Helvick oil discovery, located in SEL 2/07 in the North Celtic Sea Basin, offshore Ireland.
Lansdowne has a 10% interest in the Helvick discovery under an agreement with Providence.
The announcement stated inter alia that:
“Providence has, on behalf of its joint venture partners, applied to the Minister of State at the Department of Communications, Energy and Natural Resources (the “Minister”) to convert that part of SEL 2/07 which contains the Helvick discovery, into a Lease Undertaking. In the event the Lease Undertaking is granted by the Minister, ABTOG has agreed to farm into the Helvick oil discovery. The farm in would be subject to the approval of the Minister.
As part of the farm-in, ABTOG will assist the joint venture partners in the carrying out of a phased detailed work programme. The first phase of this work programme will be to determine whether the discovery can be developed commercially, through the use of ABTOG’s innovative low cost development technologies.
If the joint venture partners determine that the discovery can be developed commercially, the second phase of the work programme will be carried out. This second phase involves the carrying out the necessary work required to prepare and submit, to the Minister, an outline plan of development and an application for a Petroleum Lease in respect of the discovery.
Subject to the award of a Petroleum Lease by the Minister, the third phase of the work programme would be carried out. This third phase would entail the preparation and submission of a formal plan of development to the Minister. Subject to Ministerial approval of the plan of development, ABTOG will earn a 50% interest in the discovery.
ABTOG is a joint venture between Enegi Oil PLC (“Enegi”), an independent oil and gas company with an asset portfolio located in the UK North Sea, Newfoundland Canada and Jordan, and ABTechnology Ltd. (“ABT”), a company which holds proprietary interests in low cost development solutions. ABTOG has already made considerable progress taking the Fyne oil field in the North Sea towards FDP (Field Development Plan) by utilising its technologies and the development expertise of ABT’s strategic partner, the Wood Group. Providence and its partners are looking forward to ABTOG applying this experience to the potential development of the Discoveries.”
Commenting on the announcement, Dr Steve Boldy, CEO of Lansdowne said:
“Lansdowne welcomes ABT Oil & Gas into the consortium and looks forward to them applying their innovative new technology to unlock the potential held in the Helvick oil discovery.”
Press Release, November 13, 2013