Licence P2478 - Completion of Farm In

RNS Number : 5717O

Baron Oil PLC

11 October 2021

 

11 October 2021

Baron Oil Plc

("Baron" or the "Company")

Licence P2478 - Completion of Farm In

Further to the Company's announcement of 18 August 2021, Baron Oil Plc (AIM:BOIL), the AIM-quoted oil and gas exploration company, is pleased to announce the completion of the increase in its interest in United Kingdom Offshore Licence P2478 (the "Licence") from 15% to 32% following formal consent given by the United Kingdom Oil & Gas Authority.

Work on the outstanding Phase A technical work commitments is ongoing with the key component, that of 3D seismic reprocessing, expected to be delivered during the first half of 2022. The Board believes that this will provide the partners sufficient time to mature the Dunrobin Prospect and to engage with potential drilling partners in due course. Baron has the role of technical overseer in relation to the Licence's remaining Phase A work commitments.

Dunrobin is evaluated by Baron to be one of the few remaining targets yet to be drilled in the UK North Sea with estimated gross mean prospective resources of the order of 100 MMbbl (a non-SPE PRMS compliant estimate). The Beatrice field c.20km north of Dunrobin produced over 140 MMbbl from the same petroleum system.

Well costs are expected to be modest at c. £7 million gross as the prospect lies in shallow water of less than 100 metres and the total drilling depth of the well is prognosed to be approximately 660 metres.

Qualified Person's Statement

Pursuant to the requirements of the AIM Rules - Note for Mining and Oil and Gas Companies, the technical information and resource reporting contained in this announcement has been reviewed by Jon Ford BSc, Fellow of the Geological Society, Technical Director of the Company. Mr Ford has more than 40 years' experience as a petroleum geoscientist. He has compiled, read, and approved the technical disclosure in this regulatory announcement and indicated where it does not comply with the Society of Petroleum Engineers' standard.

For further information, please contact:

Baron Oil Plc		[phone]
Andy Yeo, Chief Executive
Allenby Capital Limited		[phone]
Nominated Adviser and Joint Broker
Alex Brearley, Nick Harriss, Nick Athanas (Corporate Finance) Kelly Gardiner (Sales and Corporate Broking)
Turner Pope Investments (TPI) Limited		[phone]
Joint Broker
Andy Thacker
IFC Advisory Limited		[phone]
Financial PR and IR
Tim Metcalfe, Florence Chandler

Glossary
Mean	Reflects a mid-case volume estimate of resource derived using probabilistic methodology. This is the mean of the probability distribution for the resource estimates and may be skewed by high resource numbers with relatively low probabilities.
MMbbl	Million barrels of oil.
Prospective resources	Quantities of petroleum that are estimated to exist originally in naturally occurring reservoirs, as of a given date.  Crude oil in-place, natural gas in-place, and natural bitumen in-place are defined in the same manner.
SPE PRMS	The Society of Petroleum Engineers' ("SPE") Petroleum Resources Management System ("PRMS"): a system developed for consistent and reliable definition, classification, and estimation of hydrocarbon resources prepared by the Oil and Gas Reserves Committee of SPE and approved by the SPE Board in June 2018 following input from six sponsoring societies: the World Petroleum Council, the American Association of Petroleum Geologists, the Society of Petroleum Evaluation Engineers, the Society of Exploration Geophysicists, the European Association of Geoscientists and Engineers, and the Society of Petrophysicists and Well Log Analysts.

 

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