Europa Oil & Gas (Holdings) Plc (LON:EOG) told investors it has secured an extension for Frontier Exploration Licences (FEL) 2/13 and 3/13, as well as the conversion of Licence Option 16/2 into a FEL.
The first exploration phase will now run to July 2019, allowing the company more time to mature the exploration inventories for the assets.
“Following government approval we will immediately start the work programmes on these licences in the South Porcupine basin,” said Hugh Mackay, Europa chief executive.
“PSDM [Pre-Stack Depth Migration] reprocessing work is already underway to mature prospects and leads particularly in the syn-rift and pre-rift play, as we look to deliver on our target to upgrade at least six of our existing inventory of 32 offshore Ireland prospects to drill-ready status.
“This work may also further de-risk our existing drill-ready prospects in the Cretaceous fan play.”
Presently, Europa estimates the potential for some 1.49bn barrels of oil equivalent in three identified prospects in FEL 3/13, and 1.12bn barrels in the nine identified prospects within 2/13. At the same time, LO 16/2 has the potential for an estimated 898mln barrels.
Mackay highlighted the boost from the company’s well supported equity funding efforts, which brought in a total of £3.4mln.
“We are fully funded to undertake all our work programmes in Atlantic Ireland immediately and concurrently,” Mackay added.
“Together with the anticipated start-up of exploration drilling elsewhere in the South Porcupine these are exciting times for Atlantic Ireland and for Europa in particular.
“We look forward to providing our investors further updates as the story evolves.”