Hartshead Resources NL (ASX:HHR) has appointed UK-based energy sector specialist LAB Energy Advisors Limited to advise on industry partnering for its Phase I development of the Anning and Somerville gas fields in the UK Southern Gas Basin.
The appointment of LAB Energy Advisors follows growing interest from several industry players in Hartshead’s P2607 licence area.
Strong track record
LAB Energy’s team, which has extensive upstream corporate M&A and asset A&D experience, has a strong track record in asset divestments and farm-out transactions globally, including the UK and Dutch sectors of the Southern Gas Basin.
This appointment brings a wealth of transaction experience with clients ranging from the oil & gas majors to independent energy players.
Expressions of interest
Hartshead CEO Chris Lewis said: “The level of interest in Hartshead’s P2607 licence from potentially suitable industry partners affirms our confidence in the value of the asset.
"With the increased interest in investment into UK gas developments and high gas prices, now is an opportune time to engage with suitable industry partners.”
After several approaches from multiple parties, the company commissioned LAB Energy to formally launch a process with the aim of securing an industry partner for the development stage of the Phase I Anning and Somerville gas fields following Final Investment Decision (FID), which is expected in early-2023.
Recent progress of the Phase I development project through the development planning process combined with increasing focus on UK gas import dependency and security of supply, has resulted in growing interest from a number of industry players in Hartshead’s P2607 licence area of the UK Southern Gas Basin.
Structured process
The appointment of LAB Energy will allow those companies who have shown interest in partnering with Hartshead at the development stage, to enter a structured divestment process as the company progresses its Phase I development through the FEED stage and prior to the FID.
"I am delighted to be working with the highly experienced LAB Energy team, and I am confident this will deliver a successful outcome and value for shareholders,” Lewis added.
Hartshead has also released an updated corporate presentation that incorporates the results of the recently announced independent technical and commercial audit of the Anning and Somerville gas fields by ERC Equipoise (ERCE).