3rd Jul 2014 11:35
LONDON (Alliance News) - Enegi Oil PLC Thursday said seismic and well data tests conducted by its joint venture partner, on its Block 22/12b licence in the Central North Sea, which includes the Phoenix discovery, have de-risked the site and confirmed the presence of an oil bearing reservoir.
The UK North Sea oil exploration company said subsurface analysis, 3D seismic and historic well data studies conducted by its joint venture partner Azimuth Ltd over exploration licences and the Phoenix discovery have proved the presence of an oil bearing reservoir around the previously drilled 22/12a-10 exploration well on site.
The Phoenix discovery has two targets which were initially found when Royal Dutch Shell PLC owned the site, with previous Enegi estimates showing around 15 million barrels of stock tank oil in place.
The company said the findings de-risk the site and it is now identifying the minimum case reserves at the structure and to understanding the levels of oil at the site.
Enegi also used the results to decide that using a Self-Installing Floating Tower is the most technically sound and economic way to get oil from the field, and a new development plan is being made for the site.
The company said that further subsurface work will be completed in the coming months and is focused on determining that there is sufficient proven oil in place to justify the next stage of investment that may include the preparation of a Field Development Plan.
Enegi said its work programme with Azimuth on site is nearing its completion and once complete a subsidiary of Azinor Petroleum Ltd will earn a 50% interest in the exploration acreage of the block, with Enegi holding 50% and a 100% interest in the Phoenix Field acreage.
The company also said it hopes to add to the portfolio at its 50% owned ABT Oil & Gas business through the upcoming 28th licensing round where it has applied for a number of undeveloped discoveries in the UK Continental Shelf.
Enegi Oil shares were up 4.0% to 5.07 pence on Thursday.
By Tom McIvor; [email protected]; @TomMcIvor1
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