Europa Oil & Gas (Holdings) plc / Index: AIM / Epic: EOG / Sector: Oil & Gas
23 May 2016
Europa Oil & Gas (Holdings) plc (‘Europa’ or ‘the Company’)
Farm-Out of Holmwood, Weald Basin
Europa Oil & Gas (Holdings) plc, the AIM listed oil and gas exploration, development and production company focused on Europe, is pleased to announce it has signed a Farm-Out Agreement (`FOA') in relation to its 40% interest in the PEDL143 licence in the Weald Basin with Union Jack Oil and Gas plc (‘UJO’). PEDL143 contains the conventional Holmwood prospect (‘Holmwood’) which has estimated gross mean unrisked prospective resources of 5.6 mmbo in Portlandian and Corallian sandstones and a P90 – P10 range of resources of 1 to 11 mmbo. Planning permission is in place for a deviated exploration well to be drilled at Holmwood and drilling operations are anticipated to commence in late 2016 / H1 2017.
Europa CEO Hugh Mackay said, “The farm-out of an interest in Holmwood is in line with our strategy to advance our multistage portfolio of licences while at the same time managing risk. We rate Holmwood as one of the best undrilled conventional prospects in the UK: gross mean unrisked prospective resources of 5.6 mmbo; the presence of multiple payzones; and located in a prolific hydrocarbon producing region close to the Brockham oil field and Horse Hill discovery. We are keen to get the drillbit moving and are working hard to be in a position to commence drilling operations in late 2016 / H1 2017.
“Success at UK onshore prospects such as Holmwood should have a transformational impact on the revenue profile of oil and gas companies such as Europa. We expect to demonstrate this through our Wressle discovery in East Lincolnshire, which is expected to more than double our net production when it comes on stream, targeted in late 2016. Wressle, combined with tentative signs of at least a stabilisation in the price of oil, will provide Europa with a strong cash flow generative platform which we intend to put to good use to monetise our growing asset base of licences, and in the process generate value for our shareholders.â€
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For further information please visit http://www.europaoil.com/ or contact:
Hugh Mackay | Europa | + 44 (0) 20 7224 3770 |
Phil Greenhalgh | Europa | + 44 (0) 20 7224 3770 |
Matt Goode | finnCap Ltd | + 44 (0) 20 7220 0500 |
Simon Hicks | finnCap Ltd | + 44 (0) 20 7220 0500 |
Frank Buhagiar | St Brides Partners Ltd | + 44 (0) 20 7236 1177 |
Susie Geliher | St Brides Partners Ltd | + 44 (0) 20 7236 1177 |
Notes
Europa Oil & Gas (Holdings) plc has a diversified portfolio of multi-stage hydrocarbon assets that includes production, exploration and development interests, in countries that are politically stable, have transparent licensing processes, and offer attractive terms. In 2015 Europa produced 141 boepd. Its highly prospective exploration projects include the Wressle development (targeting production startup later in 2016 at up to 500 bopd gross) in the UK; 100% owned gas exploration prospect (107 bcf) and appraisal project (CPR 277 bcf) in onshore France, a joint venture with Vermillion Energy also in onshore France; and three licences offshore Ireland with the potential to host gross mean un-risked Prospective Resources of approximately 3 billion barrels across the three licences.
Qualified Person Review
This release has been reviewed by Hugh Mackay, Chief Executive of Europa, who is a petroleum geologist with 30 years' experience in petroleum exploration and a member of the Petroleum Exploration Society of Great Britain, American Association of Petroleum Geologists and Fellow of the Geological Society. Mr Mackay has consented to the inclusion of the technical information in this release in the form and context in which it appears.