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Shell U.K. Limited Exercises Option on P2437
Shell U.K. Limited Exercises Option on P2437.
About this update from Deltic Energy Plc
[{"type":"text","content":"\n \nRNS Number : 5510X Cluff Natural Resources plc 30 April 2019 \n\n30 April 2019\n \nThe information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 (\"MAR\"). With the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.\n \n \n \nCluff Natural Resources Plc ('Cluff' or 'the Company')\n \nShell U.K. Limited Exercises Option on P2437\n \nCluff Natural Resources Plc, the AIM quoted natural resources investing company with a high impact exploration and appraisal portfolio focused on the Southern and Central North Sea, is pleased to announce that Shell U.K. Limited (\"Shell\") has today exercised its exclusive option under the option agreement dated 8 February 2019 between the Company and Shell (the \"Option Agreement\") to farm in to Licence P2437.\n \nHighlights\n \n· Under the terms of the Option Agreement, Shell will receive a 50 per cent. working interest in Licence P2437, which contains the 291 BCF Selene prospect (P50 Gross Prospective Resources). \n \n· Shell will pay a total consideration of USD$600,000 to the Company following completion, part of which was received in February 2019. \n \n· Completion of the farm in is conditional on the entering into of a Joint Operating Agreement and obtaining regulatory consent from the Oil & Gas Authority (the \"OGA\"). Application for OGA consent will be made immediately and completion is expected before the end of Q2.\n \n· On completion of the farm in, Shell has indicated its intention to commit to drill an exploration well on the Selene Prospect at the soonest possible opportunity.\n \n· Under the Option Agreement, Shell will pay 75% of the cost of an exploration well, including testing, subject to an aggregate cap of USD$25,000,000. \n \n \n \n \n \n \nCommenting, Cluff's Chief Executive Graham Swindells said: \n \n\"We are delighted to be able to continue to build on our relationship with Shell in the Southern North Sea following confirmation that they will now partner with us on Lic...