Nordic Energy plc, a company focussed on making investments in the North Sea oil and gas sector, announces the formal transfer to the Company of licence 01/13 (`the Licence’), the largest exploration and production licence in the Danish North Sea, covering an area of 3,600 sq km in a proven hydrocarbon system.
This follows the award of the Licence by the Danish Government to NikOil Limited (`NikOil’), a private company jointly owned by the Directors of Nordic, as previously announced on 1 May 2013.
Nordic Energy CEO Rudolf Kleiber said, “Nordic Energy is now the operator of the largest exploration and production licence in the Danish North Sea. Licence 01/13 is considered highly prospective as, based on existing seismic, a number of very large structures have been mapped updip from the Central Graben, the source of all the oil found in the Danish, Norwegian and UK North Sea.
“Management has made previous multiple commercial field discoveries in the Nordic area and we intend to immediately apply our combined experience and expertise to further define the Licence’s company-making prospectivity towards drill ready status. The Licence comes with access to an extensive seismic database which at today’s prices would cost in excess of US$20m. We are currently using advanced technologies to re-process a significant amount of this data to generate a pseudo 3-D seismic dataset. Advanced technologies and new ideas were successfully used by Lundin to locate the nearby Johan Sverdrup, a 3.3 billion barrel `super giant’ oil discovery off the coast of Norway, where, as with our Licence, migration has taken place out of the Central Graben to a high lying area to the east.
“This is a highly exciting time for Nordic Energy. Further updates will be provided in the months to come, as we look to close the large gap we believe exists between our current market capitalisation of less than £2m and the considerable historic investment made to date in the area covered by Licence 01/13, let alone the near term value drivers we have put in place, notably an updated CPR due later this year.”
Press Release, September 04, 2013