27th Jan 2009 12:58
For Immediate Release 27 January 2009
Northern Petroleum Plc ("The Group" or "the Company") Production Starts at the Avington Oil Field
The Company announces that it has been advised by Star Energy Group Plc that the Avington Field, the 6th oil field in Hampshire, came into production on the 23rd January 2009 and is flowing at approximately 300 barrels of oil per day. The decision to switch to jet pump assisted lifting to increase output will be made only after a suitable period of production.
The Partners in Licence PEDL 070 containing the Avington Oil Field are:
Star Energy Oil UK Ltd (Operator) 50%
Egdon Resources Plc 20%YCI Resources Ltd 16.667%Sterling Resources UK Ltd 8.333%Northern Petroleum GB Ltd 5%
In accordance with the AIM Rules - Guidance for Mining and Oil & Gas Companies, the information contained in this announcement has been reviewed and signed off by the Exploration and Technical Director of Northern, Mr Graham Heard CGeol FGS, who has over 30 years experience as a petroleum geologist.
For further information please contact:
Northern Petroleum PlcTel: +44 (0) 20 7469 2900Derek Musgrove, Managing DirectorChris Foss, Finance DirectorGraham Heard, Exploration & Technical DirectorInvestecTel: +44 (0) 20 7597 5000Michael Ansell / Patrick RobbBlue OarTel: +44 (0) 20 7448 4400Jerry KeenBishopsgate Communications (Press)Tel: +44 (0) 20 7562 3350Nick Rome / Maxine BarnesBuchanan Communications (Analysts)Tel: +44 (0) 20 7466 5000Tim Thompson / Ben RomneyNotes to Editors:
Northern has recoverable Proven and Probable reserves of 76.5 million barrels of oil equivalence.
Following a deal with the joint Shell and ExxonMobil subsidiary, NAM, Northern became the Netherland's second largest onshore oil company in terms of oil and gas reserves, with 45.5 million boe recoverable. It is currently producing gas at Waalwijk and the offshore P12 fields. The planned development of six onshore oil and gas fields is being progressed through the Netherlands authorisation and planning processes. Partners in these projects include Dyas B.V., EBN and NAM. Northern recently sold its interest in the Waalwijk Underground Gas Storage project application for an overall consideration of £10 million.
Northern manages the largest licensed exploration area in Italy, over 13,000 km², predominantly offshore but includes seven licences in the Po Valley oil and gas province. Through its holdings in licences in the southern Adriatic covering the Rovesti and Giove oil discoveries it has net Probable oil reserves independently assessed at 26.6 million barrels recoverable. It has recently signed a deal with Shell Italia refunding Northerns' past costs and providing for Shell Italia to fund the next phases of exploration of a potential new oil province in the extension of the Apennine thrust system offshore Sicily.
In the UK the Group is also a significant holder of licences in the south of England where it has a 10% interest in the production from the Horndean oil field and a 5% interest in the Avington development. In 2009 it is planning to drill an eastward extension of the Horndean oil field. Northern has a 50% interest in the venture.
vendorRelated Shares:
Cabot Energy