Rocksource Enters NCS Farm-In Agreements
Rocksource ASA has executed closing of the farm-in agreement with Fortis Petroleum Norway AS for a ten per cent interest in licences PL 509S & BS on the Norwegian Continental Shelf (NCS).
Further, Rocksource has completed an agreement with E&P Holding AS in which the Company has acquired options to farm into NCS licences PL 455 and PL 509S from Fortis Petroleum Norway AS. In respect to PL 455 the option provides a right to acquire a 20 per cent participating interest, while in PL 509S the Company has an option to acquire an additional 15 per cent interest. The options may be exercised in respect of each PL individually and allows Rocksource to farm-in after knowing the results from a potential first exploration well in each of the licences.
Production licence PL 455 covers a large area with parts of four blocks to the west of the Yme area in the North Sea with potential oil prospects. A drill-or-drop decision is planned for first quarter of 2014.
The PL 509 licences contain oil targets and are located in the North Sea, south of the Gullfaks area. A drill-or-drop decision is planned for first half 2014. In the event of a positive decision, an exploration well might be drilled in first half 2015, according to the operator, North Energy.
Following the completion of the farm-in transaction described above Rocksource holds 19 licences on the NCS. The Company has sanctioned three exploration wells for drilling in 2014 and in addition Rocksourceis faced with seven drill-or-drop decisions on the NCS during the first half of 2014.
Press Release, December 17, 2013