Business
Update on Capricorn Energy JV Licences
Update on Capricorn Energy JV Licences.
About this update from Deltic Energy Plc
[{"type":"text","content":"\n\n \nDeltic Energy Plc / Index: AIM / Epic: DELT / Sector: Natural Resources\n \n27 July 2023\n \nDeltic Energy Plc (\"Deltic\" or \"the Company\")\nUpdate on Capricorn Energy JV Licences\n \nDeltic Energy 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 providing an update in relation to the five Southern North Sea gas exploration licences (the \"Licences\") held jointly with Capricorn Energy PLC (\"Capricorn\").\n \nFollowing recent changes at Capricorn that include a decision to exit from its exploration assets outside Egypt, the Company has been formally notified of Capricorn's intention to withdraw from the Licences. As part of ongoing rationalisation and high grading of its portfolio, Deltic has decided to withdraw from three of the Licences (P2560, P2561 and P2562) and therefore the JV partnership will move to relinquish these three licences as soon as practicable.\n \nWith respect to Licences P2567 (Cadence) and P2428 (Cupertino), Deltic recognises the significant prospectivity highlighted by the technical work programmes completed by Capricorn on behalf of the JV and intends to continue with these two licences following the withdrawal of Capricorn. \n \nAcross the P2567 and P2428 acreage position, the committed work programme has been completed in relation to both licences, and Deltic has been fully carried by Capricorn through nearly US$10 million of technical work to date including the pre-funding of nearly 700km2 of new 3D seismic as well as the reprocessing of a number of legacy 3D seismic surveys. During this intense period of geological evaluation, the JV identified and matured 17 leads and prospects in the Carboniferous with combined, gross P50 gas-initially-in-place of more than 2.6 TCF, located on Licences P2567 and P2428 . Many of these prospects are analogous with the Pegasus and Andromeda discoveries located on the blocks immediately to the south of these licences.\n \nThe current terms of Licences P2567 and P2428 are due to expire on 30 November 2023 and 31 March 2024 respectively and, once Deltic has been re-appointed as Administrator of these licences, Deltic intends to request an extension of the current licence terms from t...