Europa Oil & Gas Holdings Plc (LON:EOG) has told investors that the multi-client Crean 3D seismic acquisition campaign is now underway, and it’s acreage is due to be covered during the summer.
The company’s 30% owned Licence Option 16/19 is among the areas being assessed by the programme, carried out by TGS using the Polar Marquis vessel. Cairn Energy is Europa’s partner, which is earning a 70% via a farm-in deal.
"The acquisition of 3D seismic is the critical first step towards unlocking the hydrocarbon potential of any licence in the South Porcupine basin,” said Hugh Mackay, Europa chief executive.
“We are therefore pleased that acquisition operations have begun for LO 16/19.
“We expect to receive a processed product in 2018 after which we can begin detailed interpretation of the 3D data and in due course deliver a prospect inventory, as we look to add to the 32 prospects we have already identified within our Irish portfolio across six different play types and three basins.”
Europa has previously estimated between 300mln and 1bn barrels of oil potential in LO 16/19 where it sees the potential for several Cretaceous submarine fan systems.
LO 16/19 is one of a number of exploration assets held by Europa off Ireland’s Atlantic Margin, off the west coast.
The exploration portfolio could be boosted by third party drilling – as Providence Resources, Cairn Energy and Total are about to drill a high impact exploration well nearby.
In Monday’s statement, Mackay said: “We note the imminent start of drilling operations in FEL 2/14 some 100km south of LO 16/19.
“The outcome of this well is not only relevant to our Cretaceous fan and Paleocene prospects and leads in the basin, it also has the potential to de-risk all four of our South Porcupine licences across which we have identified gross mean un-risked prospective resources of over 4 billion barrels oil equivalent, half of which have been independently audited by a competent person."