Lime Petroleum farms into two Aker BP’s North Sea licenses

Lime Petroleum, a subsidiary of Rex International, has signed an agreement with Aker BP to acquire 20 per cent interests in the PL867 and PL867B licenses in the North Sea offshore Norway.

Gjegnalunden prospect is about 12 kilometres away from Aker BP’s Ivar Aasen platform; Source: Aker BP

The deal between the two companies was signed on Monday, 9 August, and the transfer of the interests is pending regulatory approval, which will be announced upon completion of the transfer of the interests.

Rex International said on Tuesday that exploration drilling on the licenses would start in late 2022, with the planned well targeting a large prospect called Gjegnalunden, with a reservoir in the traditional Jurassic section.

Additionally, Lime has signed a call option for the right to a 20 per cent farm-in to PL1041 in the North Sea. The option must be exercised before 1 October 2021. Drilling in PL1041, targeting the Lyderhorn prospect, is scheduled to start in November 2021.

Dan Broström, executive chairman of Rex International, said: “The latest farm-ins are in line with the group’s continuous efforts to build up our reserves and resources portfolio.

Going forward, Lime be a full-fledged exploration and production player on the Norwegian Continental Shelf, with a pipeline of exploration drill projects near infrastructure, three discovery assets with contingent resources – Falk, Fogelberg, and Shrek – with commercial field development potential, and 33.84 per cent interest in the producing Brage field”.

The PL867 and PL867B licenses in the Utsira High area are located adjacent to PL818 – Orkja, where Lime has a 30 per cent interest. AkerBP is the operator of the licences. The Gjegnalunden prospect is about 12 kilometres away from AkerBP’s Ivar Aasen platform and complements the Orkja prospect. Further prospects have been identified in the new licences.

The PL1041 license Lyderhorn lies in the central part of the North Sea, south of the Alvheim field, and adjacent to the recent Frosk and Froskelår discoveries. The target reservoirs are the prolific Heimdal and Hermod formation sandstones. AkerBP is the operator for PL1041 Lyderhorn while Neptune and Lundin are partners.

Lars Hübert, CEO of Lime, added: “Lime has a long history in the Utsira High area, and has worked closely with AkerBP in the area since 2015. We are pleased to be able to add high-quality licenses to our portfolio and look forward to drilling the Gjegnalunden prospect next year.

The option on PL1041 enables Lime to enter into a highly prolific part of the North Sea. Both areas are close to infrastructure, in line with our continued focus on infrastructure-led exploration”.