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The Markets
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Oil & Gas

Jersey Oil & Gas extends Verbier licence, looks forward to farm-out completion

Jersey Oil and Gas PLC (AIM:JOG, OTC:JYOGF) told investors it has extended the licence for the Verbier project, as UK regulator the North Sea Transition Authority approved its request.

The company, in a statement, said that the Verbier licence is now aligned with the Buchan licence with the current phase expiring end of August 2023, in keeping with its stated ‘Greater Buchan Area’ hub development plan.

"We are pleased that the NSTA has agreed to extend the second term of the Verbier Licence in order to align it with the rest of our GBA asset base,” said Jersey Oil & Gas chief executive Andrew Benitz in a statement.

“Although multiple fiscal changes have slowed progress with closing out commercial farm-out discussions, we look forward to a successful conclusion if not by the end of the year then certainly in Q1 2023," he added.

The company noted that recent confirmation of the retention of the investment allowance under the UK’s Energy Profits Levy (‘windfall tax’) represented a welcome move following a period of fiscal uncertainty.

It claimed that the phase of ‘multiple fiscal changes’ had recently slowed progress as it sought to close out its farm-out process, but said it looks forward to “a successful conclusion if not by the end of the year then certainly in Q1 2023."

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