4th Apr 2019 11:43
LONDON (Alliance News) - Upstream oil & gas company Phoenix Global Resources PLC said Thursday it has been granted an unconventional concession for its Puesto Rojas block in the Mendoza province of Argentina.
The new concession agreement has been granted for a primary term of 35 years, containing provisions for extensions afterwards, replacing the previous conventional concession due to expire in 2027.
The concession agreement contains a pilot phase with certain works due to be completed by June 2022. Once the phase is complete, Phoenix Global will have the options to move into unconventional development or terminate the concession, and resume conventional development.
"The award of the unconventional concession represents the achievement of a significant milestone in our plans for the unconventional development of Puesto Rojas and reflects the commitment and hard work of our team over the last several months," said Chief Executive Anuj Sharma.
"The unconventional concession is the first of its kind to be issued in Mendoza and, subject to the satisfaction of the associated commitments, provides clarity and incentive for unconventional activity over Puesto Rojas for the foreseeable future," Sharma added.
Shares in Phoenix Global Resources were untraded on Thursday, last quoted at 18.00 pence.
Related Shares:
PGR.L