United Oil & Gas Plc
(“UOG”, “United” or the “Company”)
Latin America Farm-In Agreement
United Oil & Gas Plc (“UOG”, “United” or the “Company”), the London Stock Exchange listed oil and gas exploration and development company, is pleased to announce an agreement to farm-in to the Tullow Jamaica Ltd (“Tullow”) operated Walton-Morant licence, offshore Jamaica.
Subject to approval from the Petroleum Corporation of Jamaica (PCJ), United has signed an agreement with Tullow to farm-in to the Walton-Morant licence at a 20% equity interest. Tullow entered the Walton-Morant licence, which covers an area in excess of 32,000km2, in October 2014. In addition to securing a large portfolio of legacy 2D seismic data, Tullow also acquired a further 3,650km of 2D seismic in 2016 and 2017. Interpretation of the data set has identified attractive Cretaceous and Tertiary aged clastic and carbonate reservoir targets and Tullow now intends to conduct a 2,000km2 3D seismic survey in H1 2018 focusing on the high-graded Colibri lead.
The Walton Morant Licence, offshore Jamaica, offers a commanding Caribbean exploration opportunity with access to play diversity across three geological basins. Only 11 wells have been drilled in the area to date, and despite difficulties with well placement due to a lack of seismic control, 10 of these encountered hydrocarbon shows. Recent work, including extensive onshore fieldwork, has confirmed the presence of all the elements required for a working petroleum system, and has also identified a thermogenically derived offshore oil seep close to the main prospect of interest, providing further confidence that there is the potential to find significant commercial volumes within the licence.
Brian Larkin, United CEO, commented:
“We are delighted to announce our new Jamaican partnership with Tullow Oil. At our time of listing, we outlined a clear strategy of building a low-risk business in Europe whilst also adding blue sky exploration upside in Latin America and Africa. This acreage is well known to the United team and we are very excited at the prospect of participating in this high impact campaign.
The current low-cost environment has allowed United to take a material 20% equity position in this high potential frontier exploration license and we look forward to working with Tullow Oil in the coming months to advance the 2017 and 2018 work programmes. In addition to our new Jamaican interest, we continue to evaluate further potential farm-in and acquisition opportunities and we look forward to updating our shareholders in the coming months.”
United’s investment will involve paying a 20% share of costs from 1st November 2017 into Phase 1c of the current exploration programme.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.
For more information please visit the Company’s website at www.uogplc.com or contact:
|United Oil & Gas Plc (Company)|
|Optiva Securities Limited (Broker)|
|Christian Dennis||+44 (0) 20 3137 1902|
|Beaumont Cornish Limited (Financial Adviser)|
|Roland Cornish and Felicity Geidt||+44 (0) 20 7628 3396|
|Murray (PR Advisor)||+353 (0) 87 6909735|
About United Oil & Gas
United Oil & Gas plc (UOG) is listed on the main market of the London Stock Exchange. United was established to explore, appraise and develop low risk assets in Europe and North Africa and to develop higher risk, higher impact exploration projects in Latin America and Africa.
The following table outlines the company’s licences.
|Italy||Podere Gallina Licence||Po Valley Energy||20%|
|United Kingdom||Waddock Cross Field||Egdon Oil Plc||26.25%|
|United Kingdom||PL090 Exploration||Egdon Oil Plc||18.95%|
|Jamaica||Walton-Morant||Tullow Oil plc||20%|