Oil and Gas explorer and producer, Elixir Petroleum (AIM: ELP) jumped more than 15% after announcing at reserve update at the Mulle Field on Block 211/22b in the UK North Sea. Elixir has a 40% interest in the field; DNO is the operator and has a 50% interest while Rocksource UK holds the remaining 10%.
DNO released a contingent P50 recoverable resource estimate for the Mull Field of 17 million barrels of oil equivalent and a P10 estimate of 36 million barrels of oil equivalent. The estimate was based on additional 3D seismic data from the adjacent Causeway programme and a new petrophysical interpretation.
"We are delighted with the results of the further technical work undertaken by the 211/22b joint venture. The booking of contingent resources today for the Mulle oil accumulation by the operator is a significant first step in moving this discovery closer to commercialisation. The joint venture will now be examining appraisal and development scenarios for the accumulation, a process in which Elixir will be actively involved." Elixir's Managing Director, Andrew Ross said.
Elixir, DNO and Rocksource are now hoping to attract new farm-in partners into the block with the ambition of drilling in 2009.