11th Oct 2005 07:00
Petroceltic International PLC11 October 2005 11th October 2005 Petroceltic International Plc Grant of option over Tunisia licence Petroceltic International plc ("Petroceltic" or "the Company"), the AIM listedoil and gas exploration and production company announces the sale of an option,which if exercised, will result in the farming out of 38% interest in the KsarHadada Production Sharing Contract (PSC) onshore south east Tunisia. The optionagreement is with Independent Resources (Ksar Hadada) Ltd, a wholly ownedsubsidiary of Independent Resources plc..The agreement provides for a feepayment of $400,000 in cash to Petroceltic, which has now been received. The Ksar Hadada permit was awarded to Petroceltic in December 2003. The blockcovers an area of 7,012km2, with the main geological target contained withinOrdovician quartzite reservoirs which have proved very prospective in Libya andAlgeria, where several large oil and gas discoveries have been made. There aretwo significant prospects in the permit named Sidi Toui and Oryx. Previous wellsin the permit have encountered oil and gas shows and new seismic has beenacquired in 2005 which will be used to determine future drilling locations. Should the option be exercised, Petroceltic will retain a 57% net interest andremain operator and Independent Resources will pay 40% of all future seismic anddrilling costs on the Tunisian licence. The Option has to be exercised duringthe first exploration period of the PSC which runs until March 2008. Alldrilling and seismic obligations in the first period have been fulfilled. If theoption is not exercised Petroceltic will retain 100% (95% net) interest. John Craven, CEO of Petroceltic said: "I am pleased to be able to announce this positive development in the managementand rationalization of our Tunisian assets. Consistent with the Company'sstrategy of retaining a material equity stake and operatorship in its projects,the Board has taken the decision to seek an equity stake appropriate to the risk/reward level for its Tunisian assets". - Ends - For further Information, call: John Craven, Petroceltic International Plc 00353 1 495 9285 Billy Clegg/Jonathan Brill, Financial Dynamics 020 7831 3113 Ronnie Simpson, Simpson FTPR 00353 1 260 5300 Notes to editors: Petroceltic International plc ("Petroceltic" or "the Company") is a leading oiland gas exploration and production company owning a portfolio of significantassets in Algeria, Tunisia, Italy and Ireland. Petroceltic is headquartered inDublin and is listed on the Alternative Investment Market. Independent Resources plc is a company focussed on oil and gas exploration andnatural gas storage in the Mediterranean region. It owns both gas storage andexploration interests. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
PCI.L