Longboat Energy PLC (AIM:LBE) has completed its farm-in deal with OMV, securing its interests in two near-term gas projects on the Norwegian Continental Shelf.
It sets the company up for catalysts with two 20%-owned wells slated in the coming months, starting with Oswig later this month which will be followed by Velocette later in the quarter.
These wells add to Longboat’s calendar, which already included the 10%-owned Copernicus that is separately set to spud before the end of this quarter.
It is expected that successes in these wells would open up “significant follow-on prospectivity” and derisking activities.
The newly acquired interests add some 223mln barrels of prospective oil resources, with Oswig representing an estimated 80mln barrels.
"We are pleased to have completed the farm-in agreement with OMV and look forward to spudding the first of the two additional wells in July,” said Longboat chief executive Helge Hammer.
“This will be the first in a series of three fully-funded, gas-focused exploration wells of which the first two are anticipated to spud over the next three months.”
OMV retains a 40% stake in the project’s and is the operator.