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On 21 August 2023, Deltic Energy Plc announced that its Licence Operator, Shell U.K. Ltd, commenced site survey works for the Selene exploration well location (P2437), mobilising a geophysical site survey vessel to acquire high resolution 2D seismic lines with acquisition expected before the end of August. Deltic holds a 50% working interest in the Licence and will be carried for 75% of drilling and testing costs up to a gross well cost of USD$25 million for scheduled drilling operations in mid-2024.
| Date | 21 Aug 2023 |
| Time | 07:00:04 |
| Category | Corporate updates |
| ID | 8884J |
Deltic Energy Plc / Index: AIM / Epic: DELT / Sector: Natural Resources
21 August 2023
Deltic Energy Plc ("Deltic" or "the Company")
P2437 - Site Survey Vessel Mobilisation
Deltic Energy Plc, the AIM-quoted natural resources investing company with a high impact exploration and appraisal portfolio focused on the Southern and Central North Sea, has been informed by the Licence Operator, Shell U.K. Ltd (or "Shell"), that site survey works associated with the Selene exploration well location have commenced.
Shell has confirmed that a geophysical site survey vessel has been mobilised to acquire high resolution 2D seismic lines over the proposed well location. The seismic acquisition is expected to be completed before the end of August. The data acquired will then be used to inform the geotechnical survey which will further assist in determining exact location and placement of the rig.
Graham Swindells, Chief Executive of Deltic Energy, commented:
"The commencement of the site survey on Selene is another important step on the path to drilling this high impact, low risk prospect in the Southern North Sea. We are looking forward to working with Shell as we continue to progress the well design prior to the scheduled drilling operations in mid-2024."
**ENDS**
For further information please contact the following:
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Deltic Energy Plc |
Tel: +44 (0) 20 7887 2630 |
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Graham Swindells / Andrew Nunn / Sarah McLeod |
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Allenby Capital Limited (Nominated Adviser) |
Tel: +44 (0) 20 3328 5656 |
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David Hart / Alex Brearley (Corporate Finance) |
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Stifel Nicolaus Europe Limited (Joint Broker) |
Tel: +44 (0) 20 7710 7600 |
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Callum Stewart / Simon Mensley / Ashton Clanfield |
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Canaccord Genuity Limited (Joint Broker) Adam James / Gordon Hamilton
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Tel: +44 (0) 20 7523 8000 |
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Vigo Consulting (IR Adviser) |
Tel: +44 (0) 20 7390 0230 |
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Patrick d'Ancona / Finlay Thomson / Kendall Hill |
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Notes To Editors
The Selene Prospect is considered one of the largest unappraised structures in the Leman Sandstone fairway of the Southern Gas Basin and Deltic estimates Selene to contain gross P50 Prospective Resources of 318 BCF of gas (with a P90 to P10 range of 132 to 581 BCF) with a geological chance of success of 70%.
Under the terms of the original farm-out with Shell, Deltic holds a 50% working interest in the Licence but will be carried for 75% of the costs of drilling and testing the well on the Selene prospect, up to gross well cost of USD$25 million.
Glossary of Technical Terms
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BCF: |
Billion Cubic Feet of gas |
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chance of success |
For prospective resources, means the chance or probability of discovering hydrocarbons in sufficient quantity for them to be tested to the surface. This, then, is the chance or probability of the prospective resource maturing into a contingent resource. Prospective resources have both an associated chance of discovery (geological chance of success) and a chance of development (economic, regulatory, market and facility, corporate commitment and political risks). The chance of commerciality is the product of these two risk components. These estimates have been risked for chance of discovery but not for chance of development. |
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Prospective Resources: |
Estimated volumes associated with undiscovered accumulations. These represent quantities of petroleum which are estimated, as of a given date, to be potentially recoverable from oil and gas deposits identified on the basis of indirect evidence but which have not yet been drilled. |
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P90: |
a 90% probability that a stated volume will be equalled or exceeded |
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P50: |
a 50% probability that a stated volume will be equalled or exceeded |
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P10: |
a 10% probability that a stated volume will be equalled or exceeded |
Qualified Person's Statement:
Andrew Nunn, Deltic's Chief Operating Officer, has approved the information contained in this announcement. Mr Nunn is a Chartered Geologist.
The Prospective Resources have been presented in accordance with the 2018 Petroleum Resources Management System (PRMS) prepared by the Oil and Gas Reserves Committee of the Society of Petroleum Engineers (SPE), reviewed, and jointly sponsored by the World Petroleum Council (WPC), the American Association of Petroleum Geologists (AAPG) and the Society of Petroleum Evaluation Engineers (SPEE).