REG - Parkmead Group (The) - Strong Progress Across Netherlands Assets

ParkmeadAnnouncement

28/04/2023 07:00

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RNS Number : 7770X  Parkmead Group (The) PLC  28 April 2023

28 April 2023

 

The Parkmead Group plc

("Parkmead", the "Group" or the "Company")

 

Strong Progress Across Netherlands Assets

Parkmead, the independent energy group, is pleased to provide the following
update on the performance of its Netherlands operations.

Drenthe VI

As previously announced, the LDS-01 well successfully discovered commercial
reserves and delivered first gas in April 2023. Since then, gas condensate
flow rates have been significantly higher than expected, at around 40m(3)/day,
in addition to excellent dry gas production rates. Following these better than
expected flow rates, the well has been temporarily shut-in, so that a process
optimization can take place at the Garijp terminal, to accommodate the
increased fluid production levels. Once an optimal operating regime has been
identified, the well will be brought back onstream, this is currently expected
to be in late May 2023. Post-drill modelling work has indicated the well has
discovered a much larger net pay interval than initially thought at well
completion.

The existing DIV-02 well at Diever continues to produce while the LDS-01 well
is temporarily shut-in.

Drenthe V

A large integrated subsurface study is currently ongoing to target additional
volumes at the producing Geesbrug gas field. This work will be completed in
the second half of 2023 and will confirm the merits of a potential additional
well. The existing Geesbrug production well is also expected to undergo
further work this year to enhance production efficiency.

Andel Va

Subsurface work continues, confirming new opportunities on the Andel Va
licence. These include an infill well at the Brakel gas field as well as a
potential exploration well on the adjacent Brakel South prospect. This work
will be completed during 2023. Alongside the Brakel area, the partners on this
licence will also be performing operational evaluations of the Wijk &
Aalburg fields which will include plans for refitting the production
facilities at those fields.

Drenthe IV

Parkmead's acquisition of the historic gas royalty in 2021 means that a
potential compression reactivation on the Grolloo gas field will result in
material net benefit to Parkmead.

Papekop

Excellent progress continues to be made on the Papekop development. Commercial
discussions are advancing with stakeholders and GTS (the owner/operator of the
national gas transmission network in the Netherlands). Environmental Impact
Assessments and permitting will be completed over the next year, alongside
detailed engineering, before a Final Investment Decision is taken.

 

Tom Cross, Executive Chairman, commented:

"We are pleased to provide shareholders with an update on the significant
progress across our portfolio of Netherlands assets.

Parkmead has worked closely with its joint-venture partners on the fast-track
development of the LDS-01 gas discovery. The initial performance and recent
reservoir modelling of the well are very encouraging, and we are achieving
higher than expected flow rates of both dry gas and gas condensate.

The Netherlands onshore portfolio continues to generate a large number of
value-adding opportunities across all stages of the life cycle including
low-risk exploration, low-cost appraisal and development.

These high-quality assets, combined with efficient cost control, deliver
strong cash flow from operations which allows for further investment in growth
opportunities throughout the Netherlands and UK."

 

For enquiries please contact:

 

 The Parkmead Group plc                                +44 (0) 1224 622200
 Tom Cross (Executive Chairman)
 Henry Steward (Group Commercial Manager)

 finnCap Ltd  (NOMAD and Broker to Parkmead)           +44 (0) 20 7220 0500
 Marc Milmo / Seamus Fricker - Corporate Finance
 Andrew Burdis / Barney Hayward - ECM

 

About Parkmead

 

The Parkmead Group is a UK and Netherlands focused independent energy group
listed on AIM of the London Stock Exchange (AIM: PMG). The Group produces
natural gas from a portfolio of four fields across the Netherlands and holds
significant additional oil and gas interests across the UK and Dutch sectors.
Parkmead also 100% owns and operates the Kempstone Hill wind energy company,
producing electricity direct to the UK grid. This is in addition to a range of
complementary renewable energy opportunities throughout the Group.

 

For further information please refer to Parkmead's website at
www.parkmeadgroup.com (http://www.parkmeadgroup.com)

 

The information contained within this announcement is deemed to constitute
inside information as stipulated under the Market Abuse Regulations (EU No.
596/2014) which is part of UK law by virtue of the European Union (Withdrawal)
Act 2018. Upon the publication of this announcement, this inside information
is now considered to be in the public domain.

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