Business
Offshore Licensing Round Awards & Option Agreement
Offshore Licensing Round Awards & Option Agreement.
About this update from Jersey Oil & Gas Plc
[{"type":"text","content":"\n \nRNS Number : 2406G Jersey Oil and Gas PLC 22 July 2019 \n\n22 July 2019\n \nJersey Oil and Gas plc\n(\"Jersey Oil & Gas\", \"JOG\" or the \"Company\")\n \n31st Supplementary Offshore (Buchan Area) Licensing Round Awards \n \nJersey Oil & Gas awarded significant acreage containing over\n100 million barrels of discovered oil, including the Buchan oil field\n \nOption Agreement with Equinor UK Limited (\"Equinor\")\n \nHighlights:\n· JOG awarded, subject to documentation, 100% working interests and operatorship of three blocks in the Oil & Gas Authority's (\"OGA\") 31st Supplementary Offshore Licensing Round\n· Acreage awarded includes the Buchan oil field and the J2 oil discovery\n· Acreage is contiguous with JOG's existing interest in Licence P2170 (Blocks 20/5b and 21/1d) that contains the Verbier discovery\n· JOG's acreage interest in the Greater Buchan Area (\"GBA\"), including P2170, is estimated to contain more than 100 million barrels of oil equivalent (\"mmboe\") discovered mean recoverable resources plus in excess of 300 mmboe identified mean prospective resources\n· Work will now commence on a Field Development Plan (\"FDP\") with, subject to funding, first oil targeted for 2024 - JOG fully funded to submit the FDP\n\n· Equinor and JOG have agreed a 3 month option over a 50% equity interest in respect of Blocks 20/5d and 21/1a (the \"Buchan Blocks\")\n \nAndrew Benitz, CEO of Jersey Oil & Gas, commented:\n\"We are delighted to announce this transformational event. Prior to these awards, JOG's net share of discovered resources in Verbier were estimated at 4.5 mmboe. Today's awards add an estimated 105 mmboe of discovered resources net to JOG, in addition to a material uplift in new prospective resources. This represents a highly significant value enhancing milestone for our shareholders comprising 100% equity interests and operatorship of key development ready assets with the potential to create a major new area hub within the Greater Buchan Area. \n \nThese awards are the kind of value creating opportunities available to nimble independent companies operating in the North Sea today and stem from an intensive two-year work effort behind the scenes b...