Following on from Bandon, SQZ has just announced new licence.
SERICA AWARDED FRONTIER EXPLORATION LICENCE OFFSHORE IRELAND
London, 21 July 2009 - Serica Energy plc (AIM & TSX-V: SQZ) announces that it
has been awarded Frontier Exploration Licence FEL1/09 covering Blocks 5/17,
5/18, 5/22, 5/23, 5/27 and 5/28 (the "Licence") in the Rockall Basin off the
west coast of Ireland. Serica is the Licence operator and holds a 100% working
interest.
Licence FEL 1/09 lies in the northeastern part of the offshore Rockall Basin and
the six blocks cover a total area of 993 square kilometres. The Rockall Basin
has an areal extent of over 100,000 square kilometres in which only three
exploration wells have been drilled to date and the basin is therefore regarded
as very underexplored. Of these exploration wells the 12/2-1 Dooish
gas-condensate discovery, drilled by Enterprise Oil in 2002, lies approximately
nine kilometres to the south of the Licence and encountered a 214 metre
hydrocarbon column.
A 3D seismic survey has already been acquired and Serica will reprocess this
data in order to enhance its understanding of the principal prospect, a
structure known as Muckish that covers an area of approximately 30 square
kilometres in a water depth of 1,450 metres. Serica estimates that Muckish has a
most likely prospective resource of 675 billion cubic feet of gas equivalent
although, given the frontier nature of the area, it is also possible that the
structure could contain oil. In order to learn more about its hydrocarbon
potential, Serica will acquire several 2D long-offset seismic lines across the
Muckish structure.
The Licence is classed as a Frontier Exploration Licence and may be held for up
to sixteen years subject to work programme and relinquishment requirements. On a
commercial discovery a Petroleum Lease will be granted. In the initial Licence
phase of four years Serica is committed to carry out geological and geophysical
studies and to acquire 400 kilometres of long-offset 2D seismic data.
Serica CEO Paul Ellis said:
"The award of this new Licence in the Rockall Basin represents a significant
addition to Serica's exploration position in Ireland, following our recent
Bandon oil discovery in the Slyne Basin. Several of Serica's present staff were
involved…
