Four new exploration licences awarded in Norway

On Jan 18, 2017

Faroe Petroleum, the independent oil and gas company focusing principally on exploration, appraisal and production opportunities in Norway and the UK, is pleased to announce that it has been awarded four new prospective exploration licences, including two operatorships, under the 2016 Norwegian APA (Awards in Pre-defined Areas) Licence Round on the Norwegian Continental Shelf.

Norwegian North Sea

The Company has been awarded three new licences in the Norwegian North Sea area:

Licence PL740 B Brasse extension – Block 31/4 and 31/7: Faroe (50% and operator), Point Resources (50%): The possible northward extension of the Brasse Discovery on the eastern side of the Brage Field. The work programme is the same as the existing PL740 Brasse licence (Faroe 50%).

Licence PL870 Pabow – Blocks 25/6, 9, 26/7: Faroe (20%), Statoil (80% and operator). The Pabow Prospect is located on the edge of the Stord Basin, just East of the Shango licence (Faroe 20%). The main prospect is a large stratigraphic closure of Upper Jurassic Ula reservoir sands. The work programme consists of G&G studies before a drill or drop decision in 2018.

Licence PL881 Goanna – Block 33/9: Faroe (30%), Wellesley Petroleum (70% and operator): The Goanna Prospect is located on the Tampen Spur on the north-western margin of the North Viking Graben. It is a structural and stratigraphic prospect of Upper Jurassic age sandstones, updip of well 33/9-16. The work programme involves the acquisition of 3D data and a drill or drop decision by 2018.

Norwegian Sea

The Company has been awarded one new licence in the Norwegian Sea area:

Licence PL888 Canela – Blocks 6507/7: Faroe (40% and operator), ConocoPhillips (30%), Wellesley Petroleum (30%). The license is located on the Revfallet Fault Complex on the Halten Terrace. The Canela prospect consists of down faulted blocks west of the producing Heidrun Field. Reservoirs are expected to be the same Fangst group sands as found in the Heidrun Field. The work programme consists of the acquisition or reprocessing of 3D seismic ahead of a drill or drop decision in 2019.

Graham Stewart, Chief Executive of Faroe Petroleum, commented:
“We are very pleased to announce the award of four important new licences in the latest Norwegian licensing round. We have added new exploration plays to our portfolio as well as consolidating our position around the high quality 2016 Brasse discovery which we will be appraising later in 2017.”

“We look forward to integrating these new licences into the exploration portfolio. The addition of good quality exploration acreage, our enhanced production portfolio and development pipeline ensures that we continue to expose our shareholders to balanced but high impact growth opportunities.”