8th Oct 2018 10:46
LONDON (Alliance News) - Shares in Sirius Petroleum PLC jumped Monday after it said it agreed to cancel the agreement with COSL to supply a jack-up rig for Sirius's Ororo field in Nigerian, as it signed a replacement rig deal, allowing spudding to take place before the end of 2018.
Shares in Sirius - an oil & gas exploration firm - were 13% higher at 0.70 pence on Monday.
In late September, Sirius noted that the process of getting the COSL rig to its Ororo offshore field had "taken significantly longer than originally envisaged" because the COSL Force rig was undergoing extensive maintenance.
On Monday, Sirius explained it had signed an agreement with Shelf Drilling Ltd to supply its Adriatic I jack-up rig for Orero instead. The rig is due to be available from November and is in "close proximity" to the Orero field.
"We are delighted to have sourced a drilling rig which is currently on station in the Niger Delta and is ahead of schedule on its current drilling programme, hence has become available," Sirius Chief Executive Officer Bobo Kuti said. "It meets our technical criteria for the Ororo field drilling programme, and we look forward to working with our operational partners Schlumberger and Add Energy on commencing the Ororo drilling programme."
The new deal does not affect Sirius's operational budget for the Orero field, it said. The firm expects spudding of Orero-2 to occur at the "earliest possible time" during the fourth quarter of 2018.
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