New Field Discovered At Pharos

RNS Number : 4223T

Parkmead Group (The) PLC

19 November 2013

 



19 November 2013

The Parkmead Group plc

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

Parkmead discovers new gas field with Pharos Exploration Well

Parkmead is pleased to announce that a new gas field has been discovered in the UK Southern North Sea by the Pharos exploration well.

The 47/5d-6 well, targeting the Pharos Prospect, was drilled on behalf of the co-venturers by Dana Petroleum using the Noble Lynda Bossler drilling rig. Gas was discovered in a Rotliegendes age sandstone reservoir. Extensive downhole data was gathered, including wireline logs, gas samples, reservoir pressures and substantial coring of the reservoir. Detailed evaluation of the discovery will be undertaken in order to determine the volume of gas initially in place (GIIP).

The discovery at Pharos is potentially valuable to Parkmead because, depending on the volume of gas in place, it could be jointly developed with the Platypus gas field, which is situated only 14km from the Pharos location. This would increase the value of the already economic development at Platypus. The Platypus gas field was discovered in 2010 and it was successfully appraised by Parkmead and its co-venturers with a horizontal well in 2012. Platypus was flow tested at a rate of 27 million cubic feet of gas per day (approximately 4,600 barrels of oil per day on an equivalent basis).

Data obtained from the Pharos gas discovery will, when fully analysed, also provide a greater understanding of the remaining prospectivity in this area. This includes the Blackadder gas prospect in the adjacent block to the south of Pharos.

Parkmead holds a 20% working interest in the new discovery at Pharos. The other joint venture partners are Dana Petroleum (operator), Dyas Exploration UK Limited, MPX North Sea Limited and Hansa Hydrocarbons Limited. 

Tom Cross, Executive Chairman of Parkmead, commented:

"We are delighted to report that a discovery has been made at Pharos. This success could add significant further value to the Platypus gas field, strengthening Parkmead's position in the UK Southern Gas Basin."

The Pharos discovery completes an excellent year of progress for Parkmead."

Enquiries:

The Parkmead Group plc
Tom Cross (Executive Chairman)	[phone]
Ryan Stroulger (Chief Financial Officer)	[phone]
Charles Stanley Securities (Financial Adviser, NOMAD and Corporate Broker to Parkmead)
Marc Milmo	[phone]
Karri Vuori	[phone]
Carl Holmes	[phone]
College Hill Associates (PR Adviser to Parkmead)
David Simonson	[phone]
Alexandra Roper	[phone]

Notes to Editors:

1.   Dr. Colin Percival, Parkmead's Technical Director, who holds a First Class Honours Degree in Geology and a Ph.D in Sedimentology and has over 30 years of experience in the oil and gas industry, has reviewed and approved the technical information contained in this announcement.

2.   Parkmead is an independent, upstream oil and gas company that is listed on AIM on the London Stock Exchange (symbol: PMG). Parkmead is focused on growth in the oil and gas exploration and production sector, targeting transactions at both asset and corporate levels.

3.   In November 2011, Parkmead completed the acquisition of stakes in UK Blocks 48/1a, 47/5b and 48/1c containing the Platypus gas field and the Possum gas prospect. Mapping indicates the potential for Platypus and Possum to contain up to 180 and 100 billion cubic feet of gas in place, respectively.

4.   In December 2011, Parkmead agreed to acquire stakes in blocks 47/4d, 47/5d, 47/10c and 48/6c in the UK Southern North Sea, which contain the large Pharos gas prospect. These two gas-basin acquisitions were important, steps in the first stage of Parkmead's development as a new independent energy company.

5.   In March 2012, Parkmead agreed to acquire a portfolio of Netherlands onshore assets comprising four producing gas fields and two oil fields from Dyas B.V. This acquisition provided the Group with its first producing fields. At the effective date of the acquisition, 1 January 2012, these assets were producing at a rate of approximately 2,000 boepd, delivering approximately 300 boepd net to Parkmead. In addition, the portfolio provides the Group with future oil developments at Ottoland and Papekop. This acquisition completed in August 2012.

6.   In May 2012, Parkmead launched its recommended acquisition of DEO Petroleum plc ("DEO"), to be implemented by way of a Court-sanctioned Scheme of Arrangement (the "Scheme"). The Scheme became effective on the 9th August 2012. As a result, Parkmead now owns 52% and is operator of the UKCS Perth oil field, which is targeting Proven and Probable (2P) reserves of 41.3 million barrels of oil (21.5 million barrels of oil net to Parkmead).

7.   In October 2012, Parkmead was provisionally awarded several new licences under the UKCS 27th Licensing Round. The six new licences comprise interests in a total of 25 offshore blocks or partial blocks across the Central North Sea, West of Scotland and West of Shetland. Parkmead also applied for certain licences in the 27th Round, within the UKCS Southern Gas Basin, which are yet to be awarded by the UK Government due to their location close to, or in, certain Special Areas of Conservation (SACs) and Special Protection Areas (SPAs).

8.   In July 2013, Parkmead completed its recommended offer for Lochard Energy Group plc by way of a Scheme of Arrangement. This gave Parkmead a 10% interest in the producing Athena oil field.

9.   Through its wholly owned subsidiary, Aupec Limited, the Parkmead Group provides petroleum benchmarking and economics expertise to a wide range of government bodies and international oil and gas companies. Aupec has to date worked with over 100 governments, national oil companies, majors and independents, across the world, as well as a number of multi-national agencies such as the European Commission and the World Bank. Aupec is currently undertaking an important benchmarking project for a group of the world's largest super-major oil companies.

For further information please refer to Parkmead's website at www.parkmeadgroup.com.

 

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