30 Oct 2012
27th Licence Round Award
Independent Oil and Gas Ltd ("IOG"), the North Sea focused Oil and Gas Company, is pleased to announce that in the UK 27th Licensing Round it has been offered a licence for blocks 8/20 and 8/25.
These blocks will be 100% owned by IOG and could be tied back to a future development of the Skipper Field in block 9/21a, of which IOG owns 50%.
The Skipper development is subject to a successful appraisal well, scheduled to be drilled in the summer of 2013. On blocks 8/20 & 8/25, IOG has committed to acquire and reprocess 300 sq kms of 3D seismic. IOG's current view of the unrisked recoverable resources is 28 MMBbls. IOG expects any future developments to be tax efficient, with each field likely to benefit from the £800m heavy oil field allowance.
Other licences for which IOG applied have been delayed due to environmental considerations and so further awards are possible in due course.
Commenting, Mark Routh, CEO of IOG, said:
We are delighted to be offered our first blocks at 100% Working Interest and importantly this award offer is in line with our stated hub development strategy. The successful application is a testament to the competence of IOG's technical team.
About Independent Oil & Gas:
IOG is an oil & gas company with established assets focused on the UK North Sea. The company’s strategy is to deliver near term development and production assets in North West Europe, through its extensive technical and commercial expertise, whilst maintaining some exposure to exploration upside. The Company is looking to grow both organically and through acquisition.
IOG has four licences in the North Sea: In addition to the Blythe and Skipper licences co-owned 50% with ATP UK, IOG has a 100% working interest in two licences awarded in the 27th licencing round. One is to the west of and adjacent to Skipper, the other is to the east of Blythe. Both these licences have potential resources that could be tied back to developments at Skipper and Blythe respectively.