REG - Seascape Energy Asia - Block 2A Farm-Out Completion

Seascape Energy AsiaAnnouncement

18/03/2025 07:00

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RNS Number : 0198B  Seascape Energy Asia PLC  18 March 2025

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
REGULATION 596/2014 AS AMENDED AND TRANSPOSED INTO UK LAW IN ACCORDANCE WITH
THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("UK MAR").

 

18 March 2025

 

 

Seascape Energy Asia plc

(the "Company", "Seascape Energy" or "Seascape")

Block 2A Farm-Out Completion

Seascape Energy, an E&P company focused on Southeast Asia, is pleased to
announce it has completed the farm-out of a 42.5% participating interest in
the Block 2A Production Sharing Contract (the "PSC" or "Block 2A") to INPEX
CORPORATION (the "Transaction").

Seascape retains a 10% participating interest in Block 2A (the "Retained
Interest") through its wholly owned subsidiary, Topaz Number One Limited
("TNOL") providing its shareholders with material exposure to the Kertang
prospect (gross ~1.7 billion boe) at nil cost.

Following completion of the Transaction, the Company estimates that at end
Q1-25 it will have unaudited cash balances of approximately US$12 million
(£10 million).

New business activity remains a priority for the Company and Seascape is
actively pursuing growth opportunities through both ground-floor initiatives
and potential M&A with an ambition of materially expanding its portfolio
during the year.

Investor Meet Company

Nick Ingrassia (CEO) and James Menzies (Executive Chairman) will host a live
presentation for investors via Investor Meet Company at 10:00 AM GMT on
Wednesday19 March 2025.

The presentation is open to all existing and potential shareholders. Questions
can be submitted pre-event via your Investor Meet Company dashboard up until
9:00 AM GMT on Wednesday 19 March 2025, or at any time during the live
presentation.

Investors can sign up for free via:
https://www.investormeetcompany.com/seascape-energy-asia-plc/register-investor
(https://www.investormeetcompany.com/seascape-energy-asia-plc/register-investor)
. Investors who follow Seascape Energy on the Investor Meet Company platform
will automatically be invited.

Nick Ingrassia, CEO of Seascape, commented:

"I would like to express my gratitude towards MPM and our partners, INPEX
CORPORATION, PETRONAS Carigali and Petros for moving the farm-out of Block 2A
to completion so quickly. We believe the world-class Kertang prospect remains
one of the largest, undrilled structures in Sarawak and we look forward to
supporting the partnership in moving the prospect forward towards drilling.

"Proceeds from the Transaction provides Seascape with funding to pursue
exciting growth opportunities in Malaysia and wider Southeast Asia and
highlights the vital role that nimble, forward thinking, independent E&P
companies have to play in the regional upstream ecosystem."

 

Block 2A Farm-Out Highlights

·    Full, uncapped carry for Seascape's Retained Interest (10%) through
the remaining exploration phase which includes one firm wildcat well and one
contingent appraisal well (subject to a commercial discovery);

·    A cash consideration of US$10 million, which has been received
in-full, plus the reimbursement of certain historic costs of ~US$1 million;

·    A further contingent cash consideration of US$10 million payable on a
commercial discovery;

Full details of the Transaction can be found in the Company's press release
dated 2 December 2024.

Block 2A Highlights

Block 2A is located offshore Sarawak, eastern Malaysia in the North Luconia
hydrocarbon province covering approximately 12,000 km(2) in water depths
between 100 -1,400 metres. Block 2A contains the world-class Kertang prospect,
located across four Oligo-Miocene reservoirs, which is:

·    Well-defined, large, four-way dip structural high with over 220 km(2)
of closure;

·    Covered by high-quality, wide-beam 3D seismic shot by CGG in 2015;

·    Exhibits direct hydrocarbon indicators (DHIs) including an overlying
gas cloud feature and amplitude brights;

·    CPR undertaken by ERCE on Kertang in 2024 assigns total gross,
unrisked mean prospective resources of 9.1 TCF plus 146 mmbbl of NGLs (~1.7
billion boe);

·    CPR chance of success of ~20%;

·    Bintulu LNG, one of the world's largest LNG facilities, is located
onshore Sarawak.

A summary of the CPR published in June 2024 can be found on the Company's
website: https://seascape-energy.com/presentations-reports/
(https://seascape-energy.com/presentations-reports/) .

Block 2A was originally awarded to Seascape Energy in February 2023 as part of
the Malaysian Bid Round 2022 (MBR 2022) by PETRONAS Malaysia Petroleum
Management ("MPM"). MPM acts on behalf of PETRONAS in the overall management
of Malaysia's petroleum resources throughout the lifecycle of upstream oil and
gas assets.

Ends

 Enquiries:
 Seascape Energy Asia plc                          IR@seascape-energy.com
 James Menzies (Executive Chairman)

 Nick Ingrassia (Chief Executive)

 Pierre Eliet (Executive Director)

 Stifel (Nomad and Joint Broker)                   Tel: +44 20 7710 7600
 Callum Stewart                                    SNELSeascape@Stifel.com

 Jason Grossman

 Ashton Clanfield

 Cavendish Capital Markets Limited (Joint Broker)  Tel: +44 20 7397 8900
 Neil McDonald

 Pete Lynch

Standard

Estimates of reserves and resources have been carried out in accordance with
the June 2018 SPE/WPC/AAPG/ SPEE/SEG/SPWLA/EAGE Petroleum Resources Management
System ("PRMS") as the standard for classification and reporting. A summary of
the PRMS can be downloaded
from:-https://www.spe.org/en/industry/petroleum-resources-management-system-2018/.

Review by Qualified Person

The technical information in this release has been reviewed by Dr Pierre
Eliet, EVP Corporate & Business Development, Country Chair Malaysia, who
is a qualified person for the purposes of the AIM Guidance Note for Mining,
Oil and Gas Companies. Dr Eliet is a geologist with more than 25 years'
experience in the oil and gas industry. Dr Eliet has a BA Degree in Earth
Sciences from Trinity College, Dublin and PhD in Geology from Manchester
University, UK.

About INPEX CORPORATION

INPEX CORPORATION is Japan's largest exploration and production (E&P)
company, engaged in the development and operation of oil and gas projects
worldwide. INPEX is committed to contributing to a brighter future by
delivering energy in a sustainable way. As part of this commitment, INPEX is
engaging in lower-carbon solutions such as CCS, hydrogen and integrated power
supply, while pursuing new opportunities in the evolving energy landscape. For
more information, visit https://www.inpex.com/english/index.html.

Glossary

"bcf"                means billion standard cubic feet

"boe"                means barrels of oil equivalent

"CPR"              means Competent Persons Report

"m"                  means metres

"mmboe"         means million barrels of oil equivalent

"NGL"              means natural gas liquids

"tcf"                 means trillion standard cubic feet

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