REG - Deltic Energy PLC - Pensacola Well Operations Commenced

Deltic EnergyAnnouncement

23/11/2022 07:00

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RNS Number : 2643H  Deltic Energy PLC  23 November 2022

Deltic Energy Plc / Index: AIM / Epic: DELT / Sector: Natural Resources

 

23 November 2022

 

  Deltic Energy Plc ("Deltic" or "the Company")

Pensacola Well Operations Commenced

 

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, is pleased to announce that Shell UK Ltd ("Shell"), the
Operator of Licence P2252, has confirmed that the Maersk Resilient rig has
been safely installed on the Pensacola location and that drilling operations
have now commenced.

 

Deltic has a 30% working interest in Licence P2252 which is located in the
emerging Zechstein Reef play fairway in the Southern North Sea.  Deltic
estimates the Pensacola natural gas prospect to contain gross P50 Prospective
Resources of 309 BCF.

 

The drilling operations are expected to last between 60 and 90 days and the
well has been planned to be plugged and abandoned at the completion of
operations.  Deltic will update the market upon completion of operations.

 

Graham Swindells, Chief Executive of Deltic Energy, commented:

"We are excited to have commenced the well operations of our first exploration
well on the Pensacola gas prospect. Pensacola is a high impact, potentially
play opening prospect and represents what we hope will be the first of many
wells as the Company continues to implement its strategy to identify
opportunities and discover gas to support the UK's energy needs."

 

**ENDS**

 

For further information please contact the following:

 Deltic Energy Plc                                                              Tel: +44 (0) 20 7887 2630

 Graham Swindells / Andrew Nunn / Sarah McLeod

 Allenby Capital Limited (Nominated                                             Tel: +44 (0) 20 3328 5656
 Adviser)

 David Hart / Alex Brearley (Corporate Finance)

 Stifel Nicolaus Europe Limited (Joint                                          Tel: +44 (0) 20 7710 7600
 Broker)

 Callum Stewart / Simon Mensley / Ashton Clanfield

 Canaccord Genuity Limited (Joint Broker)                                       Tel: +44 (0) 20 7523 8000

 Adam James / Gordon Hamilton

 Vigo Consulting (IR Adviser)                                                   Tel: +44 (0) 20 7390 0230

 Patrick d'Ancona / Finlay Thomson / Kendall Hill

 

About Deltic Energy Plc

Deltic has created a strategically located portfolio of high-quality gas
exploration licences in the Southern North Sea over a number of licensing
rounds.  These licences are located in areas that have been underexplored
despite significant discoveries such as Tolmount, Breagh, Pegasus and Cygnus,
most of which have gone on to be developed and could provide ready access to
export infrastructure for any future developments on Deltic's licence acreage.

 

About Pensacola

Pensacola is a Zechstein Reef prospect located to the north west of the Breagh
gas field in the Southern North Sea. Deltic estimates the prospect to contain
gross P50 Prospective Resources of 309 BCF, with a 55% geological chance of
success, which will rank Pensacola as one of the highest impact exploration
targets to be drilled in the gas basin in recent years.

 

Glossary of Technical Terms

 BCF:                           Billion Cubic Feet of gas
 geological 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
 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
 P50:                           a 50% probability that a stated volume will be equalled or exceeded

 

Qualified Person's statement:

Andrew Nunn, a Chartered Geologist and Chief Operating Officer of Deltic
Energy Plc, is a "Qualified Person" in accordance with the AIM Note for
Mining, Oil and Gas Companies of the London Stock Exchange. Andrew has
reviewed and approved the information contained within this announcement.

 

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