Proactiveinvestors United Kingdom Europa Oil & Gas (Holdings) Plc https://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom Europa Oil & Gas (Holdings) Plc RSS feed en Wed, 19 Dec 2018 11:25:26 +0000 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812110518PR_NEWS_UKDISCLO_0040/ Tue, 11 Dec 2018 10:18:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812110518PR_NEWS_UKDISCLO_0040/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812101120PR_NEWS_UKDISCLO_0088/ Mon, 10 Dec 2018 16:20:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812101120PR_NEWS_UKDISCLO_0088/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812101115PR_NEWS_UKDISCLO_0087/ Mon, 10 Dec 2018 16:15:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812101115PR_NEWS_UKDISCLO_0087/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Total Voting Rights & Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812070900PR_NEWS_UKDISCLO_0084/ Fri, 07 Dec 2018 14:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812070900PR_NEWS_UKDISCLO_0084/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Result of Open Offer ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812070200PR_NEWS_UKDISCLO_0006/ Fri, 07 Dec 2018 07:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812070200PR_NEWS_UKDISCLO_0006/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Result of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812050200PR_NEWS_UKDISCLO_0003/ Wed, 05 Dec 2018 07:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812050200PR_NEWS_UKDISCLO_0003/ <![CDATA[News - Europa Oil & Gas set for catalysts in Ireland and Morocco ]]> https://www.proactiveinvestors.co.uk/companies/news/210498/europa-oil-gas-set-for-catalysts-in-ireland-and-morocco-210498.html It probably shouldn’t come as much of a surprise that Europa Oil & Gas Holdings PLC’s (LON:EOG) management has mixed feelings as 2018 draws to a close.

Undoubtedly, it was a good year for the group’s Irish exploration projects, which are easily the most exciting part of the portfolio, but in England, the group’s efforts to establish new productive and cash generative operations were stymied in local planning disputes.

READ: Europa Oil & Gas raises £4mln for offshore Ireland and new Morocco venture

At the proven but undeveloped Wressle field, in Lincolnshire, there is - on paper - the opportunity to double group production to above 200 bopd, meanwhile, the Holmwood exploration venture in the South East has promise as a possible ‘lookalike’ of the breakthrough Horse Hill discovery (where testing shows aggregate oil flows above 1,000 bopd).

Both projects stalled in the planning process this past year, and, neither can go ahead at present.

It is perhaps obvious, then, that focus is on Ireland and also a possible new venture in North Africa.

Ireland is the priority ahead of 2019 well programme

In Ireland, Europa racked up project milestones during 2018 for its ‘pre-drill’ offshore projects.

Desktop studies and analysis of technical data have helped de-risk the group’s catalogue of exploration prospects, leading the company to estimate the resource potential at some 5.7bn barrels of oil and 2.5trn cubic feet.

Significantly, Europa prioritised the Inishkea gas exploration area as its ‘flagship’ project.

Inishkea is located in the vicinity of the Corrib field – Ireland’s primary source of domestic gas – which means there’s an opportunity to accelerate any would-be project towards commerciality (if exploration activities are first a success).

Proximity to existing infrastructure and a tangible proof of hydrocarbons next door, understandably, make the Inishkea assets a natural starting point for practical exploration activities.

That the targets are also found in shallower and somewhat more hospitable waters, compared to the group’s other Atlantic prospects means they should (in theory) also be cheaper to test.

Europa reckons there could be some 2.54trn cubic feet of gas across six prospects in the Inishkea area.

The plan is to drill an exploration well, in either 2019 or 2020, though to fund the programme, Europa will need to bring in a partner via a ‘farm-out’ transaction (which would see project equity swapped for either funding commitments or hard cash).

“Our farmout process commenced in July 2018 and the target market of supermajors, majors and large independents are in the virtual and physical data rooms,” Europa chief executive Hugh Mackay said, in October.

“We are looking to drill as early as 2019, subject to industry or financial partnering and we have been sufficiently encouraged by the positive results to commence both the well planning and site survey preparation necessary for a 2019 spud.

“With the Corrib gas field going into decline and Ireland’s demand for both gas and electricity forecast to increase in response to its vibrant economy we believe there is a window of opportunity for gas that we must seize at Inishkea.”

Europa recently confirmed that it is now in talks with a major international oil and gas company regarding a potential farm-out and partnership deal.

Such a deal would likely be a significant catalyst for Europa’s shares, as would any successes elsewhere in Ireland’s offshore exploration frontier.

Eyeing opportunities in Morocco

At the same time, Europa is now looking to new opportunities in new territories – with a project in Morocco currently under consideration.

“Our experience onshore UK during 2018 has vindicated the board’s decision to add a third territory to our portfolio,” chairman Simon Oddie said in a statement ahead of December’s AGM.

“Over the course of the year, we have evaluated a number of potential projects in several new jurisdictions and, as announced on 20 November 2018, we are pursuing a new venture opportunity in Morocco to further diversify our asset base.

Oddie added: “By next year’s AGM Statement, I am confident Europa will not only have a clear line of sight towards the drilling of at least one potentially transformational well offshore Ireland, but also have a portfolio of assets in at least three jurisdictions, all at various stages of development and all contributing to our growing pipeline of opportunities offering significant re-rating potential.”

Investors will wait over the next weeks for further Morocco news.

England frustrations

Whatever Brexit holds in store for the UK more broadly, the uncertainties affecting Europa’s British business were in local politics.

Although existing producing assets were supported by better oil prices, growth projects stalled.

“While major milestones were chalked up across our Irish portfolio in 2018, the same cannot be said for our UK onshore assets,” Simon Oddie said.

“We are constantly looking to maximise our existing production, and we have a number of initiatives underway focused on achieving just that.

“However, efforts to scale up output both by bringing the Wressle oil discovery in North Lincolnshire on line and by drilling the conventional Holmwood prospect in the Weald Basin, proved fruitless following unfavourable decisions at the council and governmental levels respectively. 

“We remain optimistic that Wressle will eventually be brought into production at a gross rate of 500 bopd, even after the disappointing decision by the council’s planning committee to refuse permission despite a recommendation from its own professional planning officer. 

He added: “However, following the decision by the Secretary of State for Environment, Food and Rural Affairs not to renew the lease for the drill site at Bury Hill Wood, we took the decision to withdraw our application to extend planning permission to drill Holmwood.”

Evidently, Europa is not giving up on what remain attractive English assets – nonetheless, both the company and its investors will need to be patient on the planning front.

English frustrations aside, the company is expected to have plenty going on in Ireland and Morocco to keep the market engaged.

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Tue, 04 Dec 2018 14:28:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/210498/europa-oil-gas-set-for-catalysts-in-ireland-and-morocco-210498.html
<![CDATA[News - Europa Oil & Gas looks to Ireland and Morocco ]]> https://www.proactiveinvestors.co.uk/companies/news/210455/europa-oil-gas-looks-to-ireland-and-morocco-210455.html Europa Oil & Gas Holdings Plc (LON:EOG) chairman Simon Oddie has told investors that the company is pursuing a new venture opportunity in Morocco, to add to the high-potential exploration offshore Ireland and its bogged down English projects.

In 2018, the junior oil and gas firm racked up project milestone and acheivements for its ‘pre-drill’ offshore Ireland assets - culminating in ongoing farm-out talks with ‘a major international oil and gas company’ for the flagship Inishkea project.

READ: Europa Oil & Gas raises £4mln for Ireland and new Morocco venture

At the same time, however, Europa’s English projects have been stymied in local government planning offices, with both the Wressle and Holmwood projects stalling.

Oddie, in a statement ahead of Europa’s AGM later today, said: “Our experience onshore UK during 2018 has vindicated the board’s decision to add a third territory to our portfolio. 

“Over the course of the year, we have evaluated a number of potential projects in several new jurisdictions and, as announced on 20 November 2018, we are pursuing a new venture opportunity in Morocco to further diversify our asset base. 

“By next year’s AGM Statement, I am confident Europa will not only have a clear line of sight towards the drilling of at least one potentially transformational well offshore Ireland, but also have a portfolio of assets in at least three jurisdictions, all at various stages of development and all contributing to our growing pipeline of opportunities offering significant re-rating potential.”

 

 

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Tue, 04 Dec 2018 08:05:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/210455/europa-oil-gas-looks-to-ireland-and-morocco-210455.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - AGM Statement ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812040200PR_NEWS_UKDISCLO_0011/ Tue, 04 Dec 2018 07:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201812040200PR_NEWS_UKDISCLO_0011/ <![CDATA[News - Europa Oil & Gas remains resolute as Wressle planning situation disappoints again ]]> https://www.proactiveinvestors.co.uk/companies/news/210183/europa-oil-gas-remains-resolute-as-wressle-planning-situation-disappoints-again-210183.html Europa Oil & Gas Holdings Plc (LON:EOG) has maintained positive in its support for the Wressle oil project, in Lincolnshire, despite yet another disappointment in efforts to secure planning permission to develop the field.

Late in Wednesday’s session, it was announced that Wressle project operator Egdon Resources had been frustrated again as the North Lincolnshire Council Planning Committee refused the new application for planning consent.

READ: Planning officer recommends Wressle field for planning approval

Egdon is operator with a 30% stake and it intends to submit an appeal against the decision without delay and it said it will begin preparing the appeal documentation once it receives the council committee refusal letter.

“The decision of the committee, whilst not entirely unexpected, is nonetheless disappointing given that the application had been recommended for approval by North Lincolnshire council’s own professional planning officer who had the benefit of a positive assessment by specialist independent technical consultants,” said Mark Abbott, Egdon Resources chief executive.

“We agree with the conclusion of the planning officer and the independent consultants and strongly believe the new application for the development of the Wressle oil field fully and comprehensively addresses the reasons for the refusal of the original planning applications and the subsequent appeals and therefore intend to appeal this decision without delay.”

Europa, which owns a 30% stake in Wressle, in its own statement backed Egdon.

“Located in the heart of the East Midlands Petroleum province, recommended for development by the council’s own planning officer as well as independent consultants, and with the potential to generate meaningful production revenues for Europa, we believe the case for bringing the Wressle discovery into production is strong. 

“We therefore fully support the operator’s continued efforts to advance Wressle, starting with the preparation of the appeal documentation as soon as possible.”

Elsewhere, Union Jack Oil PLC (LON:UJO) holds a  27.5% project stake.

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Thu, 29 Nov 2018 07:23:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/210183/europa-oil-gas-remains-resolute-as-wressle-planning-situation-disappoints-again-210183.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Update on Wressle, North Lincolnshire ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201811281115PR_NEWS_UKDISCLO_0093/ Wed, 28 Nov 2018 16:15:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201811281115PR_NEWS_UKDISCLO_0093/ <![CDATA[News - Planning officer recommends North Lincolnshire council approves planning consent for Wressle oil field ]]> https://www.proactiveinvestors.co.uk/companies/news/209732/planning-officer-recommends-north-lincolnshire-council-approves-planning-consent-for-wressle-oil-field-209732.html North Lincolnshire’s planning officer has recommended that local councillors approve planning consent for the development of the Wressle oil field, in which Union Jack Oil PLC (LON:UJO) and Europa Oil & Gas (Holdings) PLC (LON:EOG) have sizeable stakes.

Operator Egdon Resources Plc (LON:EDR) submitted a new planning application back in July, having had its original submission and subsequent appeals knocked back over the past year.

READ: New Wressle planning application submitted

The planning officer, supported by a team of external technical experts, has concluded that their earlier concerns “have been overcome”.

The latest application will be considered by the planning committee next Wednesday (November 28).

“The planning officer’s recommendation to the council to approve the application for planning consent for the development of Wressle is testament to the comprehensive work that has been undertaken to address all outstanding issues,” said Europa chief executive Hugh Mackay.

Egdon managing director Mark Abbott added: “We hope that the members of the planning committee will agree with the considered recommendation of their professional planning officer (supported in this case by specialist advisors), the various regulatory authorities and statutory consultees and approve the application at next week’s meeting.”

Egdon Resources has a 30% stake in Wressle, as does Europa, while Union Jack and Humber Oil & Gas have 27.5% and 12.5%, respectively.

Onstream as early as 2019

City broker SP Angel reckons Wressle could come onstream as early as 2019 if there are no further hiccups with the planning applications.

“We are reiterating our belief that Wressle will come onstream 2020,” said analysts at City broker SP Angel.

“However, we recognise that such is the current preparedness onsite, should the North Lincolnshire Council do their job, this could be brought forward 12 months to 2019.”

Europa shares dipped 2.7% to 2.9p on Thursday morning, while Union Jack slipped by a similar percentage to 0.11p. Egdon’s stock jumped 8.8% to 8.3p.

--Adds share price and broker comment--

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Thu, 22 Nov 2018 07:37:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/209732/planning-officer-recommends-north-lincolnshire-council-approves-planning-consent-for-wressle-oil-field-209732.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Update on Wressle ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201811220200PR_NEWS_UKDISCLO_0004/ Thu, 22 Nov 2018 07:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201811220200PR_NEWS_UKDISCLO_0004/ <![CDATA[Media files - Europa Oil & Gas CEO discusses £5mln fundraise, farm-in discussions and Morocco venture ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/11259/europa-oil-gas-ceo-discusses-5mln-fundraise-farm-in-discussions-and-morocco-venture-11259.html Tue, 20 Nov 2018 12:20:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/11259/europa-oil-gas-ceo-discusses-5mln-fundraise-farm-in-discussions-and-morocco-venture-11259.html <![CDATA[News - Europa Oil & Gas raises £4mln for offshore Ireland and new Morocco venture ]]> https://www.proactiveinvestors.co.uk/companies/news/209547/europa-oil-gas-raises-4mln-for-offshore-ireland-and-new-morocco-venture-209547.html Europa Oil & Gas (Holdings) PLC (LON:EOG) is to raise up to £5mln to fund its Irish Atlantic Margin projects and also a new venture in Morocco.

A firm placing will provide £4mln at 3p per share while existing shareholders can subscribe up to another £1mln through an open offer at the same price.

READ: Ireland’s great oil opportunity is now closer than ever as new drilling comes into view

Europa has exploration licences off the west coast of Ireland, where it is currently negotiating farm-in agreements with a major international oil and gas company over three of these - LO 16/20, FEL 1/17 and FEL 3/13.

Hugh Mackay, chief executive, said: “The funds raised will enable the company to continue to advance its high impact exploration portfolio in Atlantic Ireland and in particular to bring our high-graded prospects to the point of being ready to drill.

“The funds raised will enable us to deliver the work programme for a potential new licence in Morocco and to screen and land other new ventures"

 

 

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Tue, 20 Nov 2018 08:19:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/209547/europa-oil-gas-raises-4mln-for-offshore-ireland-and-new-morocco-venture-209547.html
<![CDATA[RNS press release - Placing & Open Offer ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/LSE20181120070014_13872729/ Tue, 20 Nov 2018 07:00:14 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/LSE20181120070014_13872729/ <![CDATA[News - Canada’s US$1.3bn oil exploration boost bodes well for Ireland’s nascent oil frontier ]]> https://www.proactiveinvestors.co.uk/companies/news/208857/canadas-us13bn-oil-exploration-boost-bodes-well-for-irelands-nascent-oil-frontier-208857.html The West of Ireland and North America’s eastern seaboard have been closely linked ever since the early sixteenth century’s migrations into the ‘New World’.

Indeed, today, citizens with Irish heritage account for 15% of all of Canada’s population - that makes Irish Canadian the country’s fourth largest ‘ethnic group’ - and, it still remains a popular emigration route for the Republic’s young adults.

$1.3bn of new investment set for Canadian exploration

Geologically, however, the ties between each side of the Atlantic actually go back millions rather than hundreds of years. And that has genuine significance for Irish oil explorers like Europa Oil & Gas PLC (LON:EOG) and Providence Resources PLC (LON:PVR).

Today, it was revealed that large multinational firms including BHP Billiton PLC (LON:BLT) and the Norwegian company Equinor, formerly known as Statoil had committed to some US$1.3bn of oil and gas spending off the coast of eastern Canada.

A total of five areas were picked up, with Canadian firms Husky Energy and Suncor also partnered in the new ventures.

“This success confirms us as a global centre of interest for the world’s oil and gas exploration companies,” said Siobhan Coady, Minister of Natural Resources in the Newfoundland and Labrador government.

That, according to Europa Oil & Gas, should also provide encouragement for those investing in Ireland’s nascent Atlantic oil future.

$1.3 billion work programmes offered for 4 licences in Eastern Newfoundland on the opposite side of conjugate margin to Europa's licences in Atlantic Ireland. This is what exploration success looks like and what might come to Ireland. https://t.co/If6qxVNhZj

— Europa Oil and Gas (@Europaoilandgas) November 8, 2018 Conjugate potential explained

The uninitiated ought to strap themselves in, as this is likely to get a little technical, but, hopefully not too much!

Ireland’s west coast Atlantic margin and Canada’s eastern Atlantic margin – specifically Newfoundland - are what’s known as ‘conjugates’.

In simpler terms, they could be said to be paired or even twinned.

Keeping things top-level and simple: If you look far back enough on a long enough geological timeline, the two spots now separated by an ocean were once together, one and the same.

And, that fact potentially becomes very significant for those now seeking oil resources potentially locked beneath the surface offshore Ireland.

It is why proponents of Ireland’s exploration potential are likely to take the first opportunity to point out the discoveries in the ‘Flemish Pass’, offshore Newfoundland where Equinor (then called Statoil) unearthed the currently undeveloped, 300mln barrel Bay Du Nord field.

It is for a similar reason that discoveries in West Africa are given relevance to those now being found off the South American coast, in places like Guyana.

Bay du Nord was greenlighted with an agreement between Equinor and the Newfoundland and Labrador authorities in July this year.

The project will be a near $11bn development (with the start-up closer to $7bn) and is expected to be online in 2025. In all, it could span between 10 and 30 wells, with a floating production facility capable of handling 94,000 to 188,000 barrels of oil per day.

Anything remotely similar would have the potential to dramatically transform Ireland’s economy, which presently relies entirely on imported petroleum and has a substantial portion of households dependent on kerosene heating oil.

So successes in Canada helps Irish exploration?

In lay terms, the exploration concept is that the geological signatures seen successfully in one location provides a ‘proof’ or reduces the risks for similar or equivalent untested prospects in the other.

Indeed, successes in Newfoundland were cited as an important factor when in 2015, several large multinational oil companies snapped up swathes of Irish acreage when the Dublin government completed its offshore licensing.

Arguably, it is telling that the 2015 process was Ireland’s ‘most successful’ offshore licensing, despite a backdrop of the worst oil prices for a decade and - almost everywhere else - an industry-wide abandonment of exploration and growth projects.

Europa will give an investor presentation in Dublin this month, to attend sign up here

State-backed Chinese oil interests, multi-national ‘super-majors’ like BP PLC (LON:BP.) and Exxon Mobil Corp (NYSE:XOM), and independent exploration and production specialists like Equinor were among those taking up Irish acreage in the 2015 licensing round.

Several of those exploration projects are now advancing, with some wells now expected to be drilled in 2019.

It is with those new exploration efforts in mind, that Europa O&G highlighted today’s new Canadian commitments being made by the likes of BHP and Equinor.

Europa plans partnerships and exploration drilling

Actual oil will need to be actually discovered in Irish waters first, but, according to Europa, substantial investors also could be drawn to Ireland if similar exploration successes are achieved.

As Europa is presently seeking a funding partner for its exploration projects, its motivation for highlighting the new investment is probably quite clear.

Europa has so far identified a catalogue of exploration targets in Ireland’s Atlantic, with an aggregate of 4.3bn barrels of oil potential presently estimated.

A process is underway to ‘farm-out’ project equity stakes to new partners in return for drilling funds, and, the small-cap exploration company hopes to start drilling in either 2019 or 2020.

Evidently, Europa would be a key beneficiary if positive industry interests translate across the Atlantic.

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Thu, 08 Nov 2018 14:17:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/208857/canadas-us13bn-oil-exploration-boost-bodes-well-for-irelands-nascent-oil-frontier-208857.html
<![CDATA[News - Ireland’s great oil opportunity is now closer than ever as new drilling comes into view ]]> https://www.proactiveinvestors.co.uk/companies/news/208644/irelands-great-oil-opportunity-is-now-closer-than-ever-as-new-drilling-comes-into-view-208644.html Ireland’s nascent offshore oil business is seen in certain quarters of the oil exploration business as a tremendous investment opportunity.

The more promotionally minded exponents and executives might even propose that it is a “once in a lifetime” opportunity.

Now, that might be a little much and a little hyperbolic, but, nonetheless, the frequently promised great oil potential in Ireland’s Atlantic waters is now arguably closer than ever.

For one, crude oil prices are considerably higher than they were in 2015 when the Irish government auctioned off exploration rights to some of the world’s largest oil companies.

Europa will give an investor presentation in Dublin this month, to attend sign up here

Then, the Chinese were the largest of the new entrants offshore Ireland.  Now, via state-owned entities, China is driving forward what could become a significant new oil sector.

In a new partnership with London-listed Providence Resources, the Chinese will drill new wells to put the Barryroe field, off the Cork coast, firmly on the path to production.

Barryroe will be Ireland’s first commercial oil operation and it will be the country first domestic source of petroleum. As such will be a watershed moment, not just for Ireland’s hydrocarbon industry but significantly for the country’s economy which presently is wholly reliant upon imports.

Whilst the Cork operation is Ireland’s ‘most advanced’ project, the possibilities off the west coast arguably presents the greatest opportunity.

Those ‘in the know’ see many billions of possible barrels of oil - based on technical work, academic study and geological extrapolation.

Finding a viable discovery has eluded the initial drilling ventures, and, as such the largely blue-sky estimates espoused to date still must be proven with actual well results.

New exploration drilling slated for 2019

China, via the Nexen business acquired by the state’s offshore oil company CNOOC, is expected to kick off its Atlantic exploration venture with gusto as wells are due during 2019.

As neither CNOOC nor Nexen is stock market listed entities detailed information about the China-held acreage and drill plans aren’t so easy to pin down. It is not, however, the only play in town.

Several publicly owned oilers are also committed to finding oil offshore Ireland - some very big and some comparatively small.

Small-cap explorers like Providence Resources and Europa Oil & Gas are more inclined to share insights about what the west coast frontier could become after all their market valuations and financing capabilities depend on investors understanding the proposition.

Irish success will, arguably, be most ‘transformational’ for explorers like Europa which essentially have their futures pinned to the ‘high impact potential’ in the Atlantic.

Small value, big potential

Europa, for instance, is presently valued in the stock market at around £11mln yet its exploration inventory includes identified prospects representing some 4.3bn barrels of potential resources.

On London’s AIM market the explorer’s share price stands presently at 3.55p, and, to highlight the possible upside, stockbroker finnCap this summer set a 55p price target along with a ‘buy’ recommendation.

Europa’s ambitions are on a two-track course

Earlier this year, the company revealed new plans to prioritise gas targets in its northernmost portion of exploration acreage.

Significantly, here, the targets are located in the vicinity of the Corrib field – Ireland’s primary source of domestic gas – which means there’s an opportunity to accelerate any would-be project towards commerciality (if exploration activities are first a success).

Proximity to existing infrastructure and a tangible proof of hydrocarbons next door, understandably, make the group of targets collectively referred to by Europa as the ‘Inishkea assets’ a natural starting point.

That the targets are also found in shallower and somewhat more hospitable waters means they should (in theory) be cheaper to test.

Europa reckons there could be some 2.54 trillion cubic feet of gas across six prospects in the Inishkea area.

Farm-outs and drilling

The plan is to drill an exploration well, in either 2019 or 2020, though to fund the programme Europa will need to bring in a partner via a ‘farm-out’ transaction (which would see project equity swapped for either funding commitments or hard cash).

Similarly, farm-outs are seen as Europa’s preferred route to fund exploration across the rest of its portfolio which spans a total of three key exploration areas, estimated to contain the potential for 4.3bn.

There’s no shortage of interest, at least not according to Europa chief executive Hugh Mackay, who in October said: “Our farmout process commenced in July 2018 and the target market of supermajors, majors and large independents are in the virtual and physical data rooms,” said Hugh Mackay, Europa Oil & Gas chief executive.

“We are looking to drill as early as 2019, subject to industry or financial partnering and we have been sufficiently encouraged by the positive results to commence both the well planning and site survey preparation necessary for a 2019 spud.

“With the Corrib gas field going into decline and Ireland’s demand for both gas and electricity forecast to increase in response to its vibrant economy we believe there is a window of opportunity for gas that we must seize at Inishkea.”

Of course, even with a ‘favourable’ and ‘de-risked’ opportunity like at Inishkea exploration is as ever a risky business.

Plainly, though there’s a lot to play for. In the meantime, for those comfortable with risky propositions, there are good reasons to pay close attention to Irish explorers like Europa Oil & Gas.

Europa chief executive Hugh Mackay is due to meet investors and deliver a presentation at the Proactive Investors One2One Investor Forum on November 22 at The Spencer Hotel, IFSC, Dublin.

To attend, register your place at the event here

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Tue, 06 Nov 2018 15:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/208644/irelands-great-oil-opportunity-is-now-closer-than-ever-as-new-drilling-comes-into-view-208644.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - EOG - Update on Wressle, North Lincolnshire ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201810300604PR_NEWS_UKDISCLO_0042/ Tue, 30 Oct 2018 10:04:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201810300604PR_NEWS_UKDISCLO_0042/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Investor Update - Atlantic Ireland Conference ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201810300300PR_NEWS_UKDISCLO_0003/ Tue, 30 Oct 2018 07:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201810300300PR_NEWS_UKDISCLO_0003/ <![CDATA[News - Europa Oil & Gas looks forward to Irish well programme as soon as next year ]]> https://www.proactiveinvestors.co.uk/companies/news/207257/europa-oil-gas-looks-forward-to-irish-well-programme-as-soon-as-next-year-207257.html Europa Oil & Gas Holdings Plc (LON:EOG) is sufficiently encouraged by its progress offshore Ireland that is now actively preparing for a well programme, which could come as soon as next year.

The Ireland focussed explorer, in its final results statement, highlighted the potential within its catalogue of high impact offshore prospects in the Atlantic Margin, off the west coast – with the spotlight on the gas targets in the Inishkea area.

Some 2.54 trillion cubic feet of gas potential has been estimated across six prospects in the Inishkea area which is in the neighbourhood of the Corrib field, Ireland’s primary source of gas.

WATCH: Europa Oil & Gas sees immediate interest in South Porcupine

These prospects are somewhat de-risked by a past well, drilled in 2010 by Shell, which encountered an 80-metre gas column which Europa believes was only a portion of the reservoir.

The fact that Corrib is next door, naturally, creates an opportunity for new gas discoveries to be delivered to market faster than they might otherwise be.

For Europa, the plan is now to secure an exploration partner through a farm-out process which is presently underway.

Inishkea was identified as a priority area by Europa, but, it is just one of a number of project areas for which funding partners are sought via farm-out. The process is expected to get underway officially for Inishkea before the end of this year, once an updated prospect inventory has been completed in December.

Europa is presenting at a Proactive event in Dublin, sign up here

In all, the company has some 4.3bn barrels of prospective resources and several ‘drill-ready’ targets and numerous interested parties are engaged in the process.

“Our farmout process commenced in July 2018 and the target market of supermajors, majors and large independents are in the virtual and physical data rooms,” said Hugh Mackay, Europa Oil & Gas chief executive.

“We are looking to drill as early as 2019, subject to industry or financial partnering and we have been sufficiently encouraged by the positive results to commence both the well planning and site survey preparation necessary for a 2019 spud.

“With the Corrib gas field going into decline and Ireland’s demand for both gas and electricity forecast to increase in response to its vibrant economy we believe there is a window of opportunity for gas that we must seize at Inishkea.”

Financial results

In terms of financials, the exploration company reported £1.6mln of revenues from its small-scale production operation in the United Kingdom, and, had a £1.3mln write off against exploration assets.

It made a pre-tax loss of £2.3mln for the year, which post-tax amounted to £2.6mln.

Europa ended the twelve month period, with £1.8mln of net cash at the end of July.

United Kingdom operations

Production averaged 94 barrels oil equivalent per day from the company’s interests in the East Midlands. Europa ranked as the third largest UK onshore UK oil producer during the year.

Efforts to substantially increase output was frustrated in the councils and courts, as the pre-development Wressle project was stymied by the opposition. Two past planning applications failed to secure approval for the new oil field, though a new application was made and a verdict is anticipated later in 2018.

The Holmwood exploration venture, in the neighbourhood of the Horse Hill discovery, also ran into planning obstacles. A lease for a potential well site was denied renewal, leading to the subsequent withdrawal of a planning application.

Mackay added: “our existing UK onshore production continues to generate meaningful revenues which at current oil prices more than cover our operational expenses. 

“We are hopeful these are set for a major boost in the year ahead should the planning application to develop the Wressle oil discovery in the East Midlands be approved. 

“At an estimated gross rate of 500bopd, Wressle would more than double our net output to around 240 bopd which, at today’s oil prices, would provide us with a highly cash generative platform with which to invest in other projects. This could include new ventures which we are actively pursuing.”

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Wed, 17 Oct 2018 07:56:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/207257/europa-oil-gas-looks-forward-to-irish-well-programme-as-soon-as-next-year-207257.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Final Results for the year to 31 July 2018 ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201810170200PR_NEWS_UKDISCLO_0012/ Wed, 17 Oct 2018 07:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201810170200PR_NEWS_UKDISCLO_0012/ <![CDATA[Media files - Europa Oil & Gas still confident Holmwood will be drilled despite planning knock-back ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/10320/europa-oil-gas-still-confident-holmwood-will-be-drilled-despite-planning-knock-back-10320.html Tue, 04 Sep 2018 10:35:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/10320/europa-oil-gas-still-confident-holmwood-will-be-drilled-despite-planning-knock-back-10320.html <![CDATA[News - Europa Oil & Gas's Holmwood venture frustrated as it is forced to withdraw planning application ]]> https://www.proactiveinvestors.co.uk/companies/news/204094/europa-oil-gas-s-holmwood-venture-frustrated-as-it-is-forced-to-withdraw-planning-application-204094.html Europa Oil & Gas Holdings PLC (LON:EOG) has suffered a new disappointment in its efforts to test the Holmwood prospect, in Surrey, onshore UK.

The company, in a statement, told investors that the authorities have decided not to renew the lease for the proposed operations site at Bury Hill Wood, Coldharbour Lane. It said it was informed by the Head of Estates at the Forestry Commission, who relayed the decision made by the Minister for the Environment, Food and Rural Affairs.

READ: UKOG acquires Solo Oil’s Horse Hill stake

Accordingly, the company has now had to withdraw its planning application for the project.

Bury Hill was the planned location of the proposed Holmwood well, which, by targeting the Portland sandstone reservoir and also testing deeper Kimmeridge zones, would’ve effectively been a follow-on or ‘copy cat’ of the nearby Horse Hill discovery.

Europa is the operator at Holmwood, holding a 20% stake in the project. UK Oil & Gas Investments PLC (LON:UKOG) is the main London-listed stakeholder in Horse Hill, and, it also holds a substantial interest in Holmwood.

AIM-peers Egdon Resources PLC (LON:EDR), Angus Energy PLC (LON:ANGS) and Union Jack Oil PLC (LON:UJO) are also partners in the venture.

Europa’s disappointment comes as ongoing well testing operations at Horse Hill continue to encounter issues with environmental protesters at the gates of its operations site.

Incident at main gate at Horse Hill. This is why an injunction was sort https://t.co/1h4JbiSBZ4 via @YouTube @UKOGlistedonAIM

— David Lenigas (@DavidLenigas) September 3, 2018 UK High Court intervenes at Horse Hill

Yesterday, the UK High Court granted an interim injunction against ‘unlawful protest activity’ at UKOG’s operations sites, including the Horse Hill and Broadford Bridge projects.

It specifically prohibited protesters from entering and remaining on the sites, blocking the public highway (by ‘slow walking’), climbing on vehicles (‘lorry surfing’), obstructing the public highway, obstructing the site entrance and the intimidation and/or assault of UKOG staff, contractors and supply chain.

High Court judge John Male QC found that "there is a good reason to believe the Horse Hill site is under a real and imminent threat".

UKOG chief executive Stephen Sanderson said: “The judgement clearly rules that trespass on UKOG's sites, interference with access to UKOG sites, obstruction of the highway (including by slow-walking, lock-ons and lorry surfing), and obstructing or interfering with our suppliers, does not constitute peaceful protest.

“Such actions are deemed unlawful and should cease to be employed by activists forthwith.”

New sites to be reviewed for Holmwood well

In its statement on Tuesday, Europa noted that its government-issued licence to operate the PEDL 143 area, which hosts the Holmwood project, was recently extended to September 2020 and, said that it now intends to undertake a full evaluation of alternative sites from which to target the Holmwood prospect.

“The minister’s decision not to renew the lease at Bury Hill Wood is disappointing, however, we intend to continue to work closely with our partners to determine how best to take the licence forward. 

“As well as PEDL143, Europa holds a multistage portfolio of licences which includes production and appraisal projects onshore UK and an industry leading licence position in the Irish Atlantic Margin.

“Various work streams are underway across our asset base to advance all our licences and in the process expose our shareholders to high impact drilling activity. With this in mind, I look forward to providing further updates on our progress.”

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Tue, 04 Sep 2018 07:32:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/204094/europa-oil-gas-s-holmwood-venture-frustrated-as-it-is-forced-to-withdraw-planning-application-204094.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Update on Holmwood Prospect, Surrey ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201809040200PR_NEWS_UKDISCLO_0002/ Tue, 04 Sep 2018 07:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201809040200PR_NEWS_UKDISCLO_0002/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Correction: Update on Wressle, North Lincolnshire ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201808020230PR_NEWS_UKDISCLO_0014/ Thu, 02 Aug 2018 07:30:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201808020230PR_NEWS_UKDISCLO_0014/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Update on Wressle, North Lincolnshire ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201808011131PR_NEWS_UKDISCLO_0137/ Wed, 01 Aug 2018 16:31:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201808011131PR_NEWS_UKDISCLO_0137/ <![CDATA[News - Europa Oil & Gas updates on planning process for Holmwood project ]]> https://www.proactiveinvestors.co.uk/companies/news/201401/europa-oil-gas-updates-on-planning-process-for-holmwood-project-201401.html Europa Oil & Gas Holdings Plc (LON:EOG) has updated on the planning process for the Holmwood project, as it submits an application to make new variations to its proposals.

For the proposed exploration well site, the company is now seeking to extend the temporary period of the permission for the well site by a further 3 years.

It also wants to remove the requirement for the scheme to include an identified HGV holding area, and, has applied for two other associated planning applications - related to the underground drilling corridor and for a temporary security fence.

READ: David Lenigas upbeat as Horse Hill oil discovery returns to the spotlight

The project neighbours the closely monitored Horse Hill project, also known as the ‘Gatwick Gusher’, where an extended well testing programme is understood to have gotten off to a positive start.

Like Horse Hill, it is anticipated that Holmwood could test both a shallower conventional oil reservoir in addition to a deeper Kimmeridge hybrid oil play.

Europa also confirmed that UK regulator the Oil and Gas Authority had now extended the initial term of the current licence out until the end of September 2020.

Additionally, it notes the approval of certain environmental permits for the project.

Europa is the project operator and it holds a 20% in the venture, alongside UK Oil & Gas Investments PLC (LON:UKOG) with 40%, Egdon Resources Plc (LON:EDR) holds 18.4%, Angus Energy Plc (LON:ANGS) has 12.5%, Union Jack Oil PLC (LON:UJO) owns 7.5% and Altwood Petroleum is the small stakeholder with a 1.6% interest.

Thanks to farm-out deals, Europa is ‘fully carried’ for its share of the exploration well costs – up to a maximum of £3.2mln.

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Tue, 24 Jul 2018 07:38:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/201401/europa-oil-gas-updates-on-planning-process-for-holmwood-project-201401.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Planning Update for Holmwood Well in the Weald Basin ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201807240200PR_NEWS_UKDISCLO_0011/ Tue, 24 Jul 2018 07:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201807240200PR_NEWS_UKDISCLO_0011/ <![CDATA[Media files - Europa Oil & Gas sees immediate interest in South Porcupine farmout ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/9847/europa-oil-gas-sees-immediate-interest-in-south-porcupine-farmout-9847.html Fri, 13 Jul 2018 11:35:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/9847/europa-oil-gas-sees-immediate-interest-in-south-porcupine-farmout-9847.html <![CDATA[News - Europa Oil & Gas bolsters exploration inventory as it steps up farm-out efforts ]]> https://www.proactiveinvestors.co.uk/companies/news/200645/europa-oil-gas-bolsters-exploration-inventory-as-it-steps-up-farm-out-efforts-200645.html As Europa Oil & Gas Holdings Plc (LON:EOG) today officially kicks off a data room for its farm-out efforts, the AIM-quoted explorer has added another big potential exploration programme offshore Ireland.

The prospect, called Egerton, is described as being analogous to the Bay du Nord discovery, off the Canadian coast - in a similar geological setting, in the ‘conjugate’ on the other side of the Atlantic.

READ: Europa Oil & Gas shares rise as firm reveals major resource upgrade

Additionally, the frontier exploration licence (FEL 1/17) hosting Egerton also contains the Ervine prospect. Together, the FEL 1/17 licences are now estimated to contain some 584mln barrels of oil equivalent.

It comes as a result of the reprocessing of proprietary 3D seismic data.

Hugh Mackay, Europa chief executive, told investors that the reprocessing exercise had “transformed the prospect inventory”.

“Prospect volumes have changed, but more importantly the accuracy of our maps and our confidence in them, has substantially increased,” Mackay said.

“Our prospects are tightened up and de-risked. We now have firm drilling targets with clearly positive economics on each licence.”

Drill ready, subject to farm-out

Europa also highlighted that a separate licence, FEL 2/13, host three prospects – Kiely East, Kiely West and Kilroy – which are seen to have 817mln boe of prospective resources.

The company’s prospect inventory comprises three ‘drill ready’ opportunities (namely Kiely East, Wilde and Edgeworth).

Mackay added: “We promised half a dozen drillable prospects by the end of 2018, now we have four, three here in the Porcupine and one in the Slyne.

“Subject to regulatory approval we will be able to proceed to FEL Phase 2 on each licence with confidence, and we now believe we have the data to convince substantive farminees of the compelling case to take these four licences forward towards drilling with the first well targeted for mid-2019 on the Inishkea prospects in the Slyne licence LO 16/20, subject to funding.”

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Thu, 12 Jul 2018 07:24:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/200645/europa-oil-gas-bolsters-exploration-inventory-as-it-steps-up-farm-out-efforts-200645.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - New Irish Prospect Inventory and Farmout Launch ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201807120200PR_NEWS_UKDISCLO_0010/ Thu, 12 Jul 2018 07:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201807120200PR_NEWS_UKDISCLO_0010/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Update on Wressle, North Lincolnshire ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201807050943PR_NEWS_UKDISCLO_0080/ Thu, 05 Jul 2018 14:43:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201807050943PR_NEWS_UKDISCLO_0080/ <![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201806150600PR_NEWS_UKDISCLO_0045/ Fri, 15 Jun 2018 11:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201806150600PR_NEWS_UKDISCLO_0045/ <![CDATA[Media files - Europa Oil & Gas sees near doubling in resources for South Porcupine Basin licence ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/9446/europa-oil-gas-sees-near-doubling-in-resources-for-south-porcupine-basin-licence-9446.html Tue, 05 Jun 2018 08:56:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/9446/europa-oil-gas-sees-near-doubling-in-resources-for-south-porcupine-basin-licence-9446.html <![CDATA[News - Europa Oil & Gas shares rise as firm reveals major resource upgrade for Irish exploration venture ]]> https://www.proactiveinvestors.co.uk/companies/news/198247/europa-oil-gas-shares-rise-as-firm-reveals-major-resource-upgrade-for-irish-exploration-venture-198247.html Europa Oil & Gas (Holdings) PLC (LON:EOG) saw its shares rise on Tuesday after the explorer revealed a major upgrade to its prospective resources in the South Porcupine Basin, Atlantic Ireland, following the analysis of new 3D seismic data.

The inventory for the Frontier Exploration Licence 3/13 increases by 93% to 2.9bn potential barrels of oil equivalent.

WATCH: Europa Oil & Gas sees near doubling in resources for South Porcupine Basin licence

It highlighted that 3D seismic confirmed and verified the Beckett, Shaw and Wilde prospects, with Beckett and Shaw now seen as a fan sequence – the explorer now believes the targets are much thicker and span a much wider area than it previously thought.

Chief executive Hugh Mackay told investors that the explorer intends to bring in a partner via a new farm-out process, once its two other Porcupine areas (FEL 2/13 and FEL 1/17) have also been reviewed.

“In FEL 3/13 we are seeing the first fruits of Europa’s major investment in 3D seismic data reprocessing in Atlantic Ireland,” Mackay said. “The size of the prize in FEL 3/13 has nearly doubled from 1.5 to 2.9 billion boe. Confidence in, and definition of, the Wilde prospect has increased significantly, whilst our new understanding of the size and thickness of the Beckett-Shaw fan-system has had a transformative effect on estimated volumes.”

Mackay described Wilde as ‘the lowest-risk prospect’ while noting that Europa is confident that a drill location on Wilde will be optimised to also test the larger volumes we identified at Beckett.

finncap hikes target price

In a note to clients, analysts at finnCap hiked their target price for Europa O&G by 28% to 55p to reflect the upgrade.

They said: “The shares have lagged this year due to delays to UK onshore planning approvals and the wavelength of expected drilling Offshore Ireland. However, confidence in – and the prospective size of – its Irish offshore portfolio continues to improve.

"A stronger oil price back drop should also improve the interest levels in the farm-out process across its portfolio once this kicks off in the next few months. Patience will be rewarded.”

In mid-morning trading, Europa O&G shares were 17.7% higher at 5.0p.

 -- Adds analyst comment, share price --

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Tue, 05 Jun 2018 08:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/198247/europa-oil-gas-shares-rise-as-firm-reveals-major-resource-upgrade-for-irish-exploration-venture-198247.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - 93% Increase in Prospective Resources Atlantic Ireland ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201806050200PR_NEWS_UKDISCLO_0002/ Tue, 05 Jun 2018 07:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201806050200PR_NEWS_UKDISCLO_0002/ <![CDATA[Media files - Europa Oil & Gas shifts focus to Inishkea gas prospects ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/9369/europa-oil-gas-shifts-focus-to-inishkea-gas-prospects-9369.html Thu, 24 May 2018 11:07:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/9369/europa-oil-gas-shifts-focus-to-inishkea-gas-prospects-9369.html <![CDATA[News - Europa Oil & Gas lets go of acreage as it narrows focus on Inishkea prospects ]]> https://www.proactiveinvestors.co.uk/companies/news/197603/europa-oil-gas-lets-go-of-acreage-as-it-narrows-focus-on-inishkea-prospects-197603.html As Europa Oil & Gas (Holdings) Plc (LON:EOG) narrows its focus in on the Inishkea prospects, in the vicinity of Ireland’s Corrib gas field, it has decided to relinquish a portion of its portfolio.

The explorer, in a stock market statement, revealed that it will give up offshore Licence Option 16/21 which covered an area in the Slyne basin, off Ireland’s West Coast.

It said that following initial exploration work the company sees limited potential in the 16/21 area, and, its judgement is that the asset block would compare poorly with other exploration areas in Ireland’s Atlantic Margin.

As such it believes it would be difficult to attract third party fund to a project in the 16/21 area.

WATCH: Europa Oil & Gas shifts focus to Inishkea gas prospects

Europa retains interests in six licence areas offshore Ireland, with potential undiscovered resources estimated at around 4.7bn barrels oil equivalent.

The priority is focused on Licence Option 16/20, also in the Slyne Basin, which hosts the Inishkea prospects.

Here, Europa is working to advance the exploration prospects to ‘drill ready’ status. To that end, it recently began 3D seismic reprocessing, which is due to be complete in the fourth quarter – and it will be followed by planning for a well programme and a farm-out partnering process.

“Europa is focussed on taking the Inishkea prospects in LO 16/20 to drill ready status and is actively investigating the feasibility of drilling what could be a company-making exploration well in 2019 or 2020,” said Hugh Mackay, Europa chief executive.

“We will not hesitate to exercise technical and commercial judgement and rationalise the portfolio where required. 

“Having fulfilled our work programme on LO 16/21, we have elected to relinquish and concentrate our technical resources on the remaining six very high impact exploration licences in our Atlantic Margin portfolio.”

Inishkea efforts advance to target 2019 well

The company has also now commissioned drilling and environmental specialists to engage in the regulatory process to enable a potential drilling programme in 2019.

Europa sees the Inishkea prospects holding a potential 2.5 trillion cubic feet of undiscovered gas initially in place.

Significantly, it described the prospects as being lower risk, in comparatively shallow water, close to gas infrastructure.

He added: “We have one of the largest operated acreage positions in Atlantic Ireland built through first mover advantage against strong competition from the majors.

“We are working hard to maximise the value of this outstanding position and I look forward to updating our investors with progress towards this goal.”

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Thu, 24 May 2018 07:20:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/197603/europa-oil-gas-lets-go-of-acreage-as-it-narrows-focus-on-inishkea-prospects-197603.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Update on offshore Ireland portfolio ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201805240200PR_NEWS_UKDISCLO_0006/ Thu, 24 May 2018 07:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201805240200PR_NEWS_UKDISCLO_0006/ <![CDATA[News - Europa Oil & Gas in the spotlight as Inishkea is promoted to ‘flagship’ project ]]> https://www.proactiveinvestors.co.uk/companies/news/194543/europa-oil-gas-in-the-spotlight-as-inishkea-is-promoted-to-flagship-project-194543.html Europa Oil & Gas Holdings Plc (LON:EOG) added some extra focus and rationale to its business during the first quarter of 2018.

The Ireland-focussed oil and gas junior has now prioritised an area in the vicinity of the Corrib gas field, the country’s largest commercial source of hydrocarbons, and, this is now seen as the ‘flagship’ asset in what is a large and varied portfolio.

This area, referred to as ‘the Inishkea prospects’, is located in Licensing Option 16/20 and exploration work to date has provided positive findings.

Efforts are presently underway to establish a prospect inventory for Inishkea. The work is expected to be complete during the first half of 2019, ahead of exploration drilling which is potentially slated for 2020.

Europa reckons each of its seven exploration areas offshore Ireland can become “company makers”, but, with the proximity to Corrib, the Inishkea areas deemed to be the closest to commercial success (figuratively and literally).

Earlier this month, Europa boss Hugh Mackay said: “In the Slyne Basin next to the Corrib gas field we have been impressed with the results to date and are therefore fast tracking further work on our Inishkea prospects in LO 16/20 so that we are in a position to drill a well targeting ‘company-making’ gas resources in a proven play close to existing infrastructure as early as 2019.”

At the same time, Europa in March told investors that it was now looking to possible new opportunities, which would add a third area of interest on top of the offshore Ireland and onshore UK assets.

Offshore Ireland: A catalogue of prospects are advancing

Europa has interests in seven exploration project areas off Ireland’s west coast, in the Atlantic margin, and through desktop work the company has already detailed a catalogue of prospects that it believes could be host to some 4.7bn barrels of oil across its inventory of 32 prospects.

The idea is to bring in bigger explorers who can help fund wells to test these big numbers. In the meantime, the hope is that third party drilling can provide the kind of breakthrough that can spur new investments into the very promising but as yet unproven Irish oil frontier.

A slew of big oil firms took new exploration areas back in a 2016 auction by the Irish government with ExxonMobil, Statoil and the Chinese National Offshore Oil Company (via its Nexen vehicle).

Onshore UK: Production growth pending

In the UK, the prize is smaller but far from immaterial. Europa has a collection of interests in production, development and exploration assets - at the end of December it had 1mln barrels of gross proved and probable reserves, and 3.1mln barrels of gross 2C resources.

Beyond that, it has some 13mln barrels of prospective oil resources 27mln barrels oil equivalent.

Europa’s share of production from onshore UK amounted to 97 barrels oil equivalent per day during the year, allowing the company to generate positive cash flow over the course of the year.

For investors, much of the recent attention has been on Europa’s 30% stake in the Wressle field, which has been held up in a planning dispute, but, in a practical sense at least, could still be on the verge of production.

Wressle, if and when it comes, could double Europa’s current production profile.

Financial results for 2017, saw Europa generate £1.6mln for the year, up from £1.3mln in the previous twelve months, and it marked a pre-tax loss £0.7mln.

Similarly, Europa’s 20% owned Holmwood project has also been impacted by UK planning delays.

Here, there have been expectations for drilling operations to get underway at Holmwood during the first six months of next year, and the regulatory process is ongoing.

In February, Europa told investors that the UK Environment Agency has indicated in a draft decision advertisement that it is inclined to award a bespoke environmental permit for drilling and testing for the Holmwood exploration well. It was followed by a public consultation process.

A well at Holmwood will target the conventional Portland reservoir and it will also examine the deeper Kimmeridge zones - it is seen essentially as a follow up to the nearby Horse Hill discovery.

FinnCap sees massive upside

Analyst Jonathan Wright has a 43p price target for Europa, versus the current target price of 3.36p.

“Europa shares have been buffeted by frustrations with the UK planning process, as its Wressle development and Holmwood exploration well have both been held up by delays to application approvals.

“However, this has masked real progress offshore Ireland, where new and reprocessed seismic is expected to lead to increased prospectivity and reduced risk across its large exploration portfolio.”

Wright reckons Europa is set to relaunch its farm-out efforts for offshore Ireland in the next quarter, and, he highlighted that at least two wells could be drilled next year by third parties in the Atlantic.

“Some 30 prospects have been identified containing over 5Bboe of unrisked prospective resources,” the analyst said. “Our 43p target price includes just three of these, heavily risked geologically and commercially.

“As progress is made on prospect definition and well funding, these should gradually derisk. Fully derisked, and assuming EOG gives away 75% of its stake to fund drilling, these three prospects alone would be worth £1.50/sh.”

He added: “At the current share price, valuation is underpinned by its UK assets, meaning investors get Ireland for free.”

All things considered, there’s no shortage of catalysts for investors in Europa.

Now with plans to expedite exploration at Inishkea and hopes for progress onshore UK, the company is certainly one for investors to watch.

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Mon, 09 Apr 2018 16:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/194543/europa-oil-gas-in-the-spotlight-as-inishkea-is-promoted-to-flagship-project-194543.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201804041218PR_NEWS_UKDISCLO_0111/ Wed, 04 Apr 2018 17:18:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201804041218PR_NEWS_UKDISCLO_0111/ <![CDATA[News - Europa Oil & Gas looking to add third opportunity as Irish gas projects are being fast-tracked ]]> https://www.proactiveinvestors.co.uk/companies/news/194221/europa-oil-gas-looking-to-add-third-opportunity-as-irish-gas-projects-are-being-fast-tracked-194221.html Europa Oil & Gas Holdings Plc (LON:EOG) chief executive Hugh Mackay told investors that the explorer is looking at adding a third ‘core’ area, on top of its acreage offshore Ireland and its interests onshore UK.

“Outside our existing portfolio, we are actively looking to add a third core area of interest and are evaluating several opportunities at various stages of development,” Mackay said, in the company’s interim results statement.

READ: Europa Oil & Gas to focus on Inishkea prospects close to Corrib gas field

“With their considerable experience and extensive network of contacts within the sector, recent Board appointments Simon Oddie and Brian O'Cathain, are already making valuable contributions to this process.”

Aside from possible new ventures, the company’s results highlighted the ongoing progress with technical desktop work to advance the Irish assets - where the company is now fast-tracking and focussing on prospects in the Slyne basin, in proximity to the large producing Corib gas field.

Six prospects have to date been identified in the exploration area, with the combined potential estimated at some 2.5 trillion cubic feet of gas initially in place. The company has noted that a pending prospective resource figure is now expected to be significantly higher than the 1 TCF that had previously mapped in the area.

Internally, this new inventory (to be known as the Inishkea prospects) are now considered to be the group’s ‘flagship’ assets.

Later this year, the company intends to complete an updated prospect inventory for three of its South Porcupine licences and that will coincide with the relaunch of a fresh partnering process.

“Technical work across our offshore Ireland licences is progressing on schedule and most importantly the 3D seismic PSDM reprocessing projects are producing the uplift in data quality we were looking for,” Mackay said.

“In the Slyne Basin next to the Corrib gas field we have been impressed with the results to date and are therefore fast tracking further work on our Inishkea prospects in LO 16/20 so that we are in a position to drill a well targeting ‘company-making’ gas resources in a proven play close to existing infrastructure as early as 2019.”

He added: “In the South Porcupine, improved mapping on reprocessed 3D seismic will lower geological risk for several prospects that make up the 2 billion barrels of oil equivalent of audited prospective resources and 2.2 billion boe of prospective in-house resources that have already been mapped. “

Onshore UK, the company retains a stake in the Wressle discovery - which had stalled due to the planning approval process - and a stake in the Holmwood exploration site which lies in the vicinity of the increasingly high profile Horse Hill project.

“We will be working hard with our partners to satisfy all outstanding matters so that both projects can be advanced,” Mackay added.

In terms of financial results, Europa reported £800,000 of revenue for the six month period and made a £500,000 loss. At the end of the period, January 31, it had £2.3mln of cash.

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Wed, 04 Apr 2018 07:38:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/194221/europa-oil-gas-looking-to-add-third-opportunity-as-irish-gas-projects-are-being-fast-tracked-194221.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Interim Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201804040200PR_NEWS_UKDISCLO_0013/ Wed, 04 Apr 2018 07:00:00 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201804040200PR_NEWS_UKDISCLO_0013/ <![CDATA[Media files - Europa Oil And Gas looks to fast-track 'flagship' Inishkea prospects ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/8875/europa-oil-and-gas-looks-to-fast-track-flagship-inishkea-prospects-8875.html Wed, 14 Mar 2018 10:23:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/8875/europa-oil-and-gas-looks-to-fast-track-flagship-inishkea-prospects-8875.html <![CDATA[News - Europa Oil & Gas to focus on Inishkea prospects close to Corrib gas field ]]> https://www.proactiveinvestors.co.uk/companies/news/193137/europa-oil-gas-to-focus-on-inishkea-prospects-close-to-corrib-gas-field-193137.html Europa Oil & Gas Holdings Plc (LON:EOG) told investors that it intends to fast-track ongoing technical work on the Licensing Option 16/20, an exploration area in the vicinity of the Corrib gas field, offshore Ireland.

It is picking up the pace because of positive findings in the work carried out to date.The company said it now considers the area, referred to as ‘the Inishkea prospects’, to be the group’s “flagship project”.

READ: Europa-operated Holmwood exploration project gets support from Environment Agency

Europa highlighted that, via its technical work, it intends to complete a prospect inventory in the first half of 2019 and it would subsequently look to deliver an exploration well in 2020.

It said that all of the group’s assets offshore are seen as “company making”, but, it intends to focus most on the Inishkea area for a number of technical and commercial reasons – it is seen to be lower risk as the gas play is well understood because of Corrib, the resource potential is significant at an estimated 2.5 trillion cubic feet, it is comparatively shallow water (between 400 and 600 metres), and gas infrastructure is already in place.

Europa highlighted that gas is seen to be a significant component of Ireland’s future energy mix for both electricity and heating, and as such the company sees positive economic demand factors.

WATCH: Europa Oil And Gas looks to fast-track 'flagship' Inishkea prospects

Europa added that it remains “very motivated and encouraged” by its oil exploration prospects, located further offshore in the South Porcupine basin and it is “working very hard to complete a farm-in” for those assets.

“The South Porcupine is dominated by major and supermajors and we believe that exploration drilling will be led by them and at their pace. We will be part of this evolving exploration story,” the company said in a statement.

“Our portfolio exposes our investors to the full range of South Porcupine hydrocarbon plays and we will benefit from exploration success in the basin in whichever play it is found. We believe that in due course oil will be found in our prospects.”

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Wed, 14 Mar 2018 08:13:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/193137/europa-oil-gas-to-focus-on-inishkea-prospects-close-to-corrib-gas-field-193137.html
<![CDATA[RNS press release - Europa Oil & Gas (Holdings) Plc - Shareholder Newsletter & LO 16/20 Inishkea update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201803140300PR_NEWS_UKDISCLO_0004/ Wed, 14 Mar 2018 07:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/PRNRNS_201803140300PR_NEWS_UKDISCLO_0004/ <![CDATA[Media files - Europa Oil & Gas welcomes support for Holmwood from Environment Agency ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/8763/europa-oil-gas-welcomes-support-for-holmwood-from-environment-agency-8763.html Mon, 19 Feb 2018 15:44:00 +0000 https://www.proactiveinvestors.co.uk/companies/stocktube/8763/europa-oil-gas-welcomes-support-for-holmwood-from-environment-agency-8763.html <![CDATA[News - Europa-operated Holmwood exploration project gets support from Environment Agency ]]> https://www.proactiveinvestors.co.uk/companies/news/191818/europa-operated-holmwood-exploration-project-gets-support-from-environment-agency-191818.html Europa Oil & Gas Plc (LON:EOG) has told investors that the UK Environment Agency has indicated in a draft decision advertisement that it is inclined to award a bespoke environmental permit for drilling and testing for the Holmwood exploration well.

There will now be a four week public consultation process, taking place between February 15 to March 15.

WATCH: Europa Oil & Gas welcomes support for Holmwood from Environment Agency

"We are pleased to have reached this important stage in the environmental permitting process,” said Hugh Mackay, Europa chief executive.

“Whilst we are still in the determination process and a final decision has not been made, it is nonetheless positive that the Environmental Agency is inclined to approve.

“We look forward to the outcome of the consultation process and will keep shareholders updated."

READ: Europa and Union Jack Oil boosted by Egdon’s decision to make new planning application for Wressle oil project

Europa is the operator at Holmwood, holding a 20% stake in the project alongside a number of exploration partners – including UK Oil and Gas Investments Plc (LON:UKOG) with 30%, Union Jack Oil PLC (LON:UJO) and Angus Energy Plc (LON:ANGS).

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Mon, 19 Feb 2018 07:13:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/191818/europa-operated-holmwood-exploration-project-gets-support-from-environment-agency-191818.html
<![CDATA[RNS press release - EA minded to award permit for Holmwood ]]> https://www.proactiveinvestors.co.uk/companies/rns/3682/LSE20180219070005_13537176/ Mon, 19 Feb 2018 07:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3682/LSE20180219070005_13537176/