UK: Antrim Signs LOA with AGR for Central North Sea Drilling Program

Antrim Energy Inc., an international oil and gas exploration and production company, announces it has signed a “Letter of Award” with AGR Peak Well Management Limited (“AGR”)to provide well project management and drilling services, including the provision of the semi-submersible drilling rig,  WilPhoenix, for the drilling of two wells within the Greater Fyne Area, in the UK Central North Sea.

The estimated duration for the drilling of the two wells is 50 days, not including testing. A site survey of both locations will be initiated in the next three weeks. Both wells are scheduled to be drilled mid year 2011.

The first well will target the Jurassic Fulmar Formation at approximately 10,400 ft true vertical depth (TVD) on the West Teal Prospect, Block 21/24b (Antrim 100%). The West Teal Prospect has a light oil target (37 degrees API) delineated by 3-D seismic and a previous discovery well drilled in 1991. The original discovery well encountered a gross oil column up to 140 ft thick in the Fulmar Formation but was abandoned after mechanical problems while conducting a cased hole test. The West Teal Prospect is structurally up dip and approximately 4 km west of the Teal Field, which has produced approximately 55 million barrels of oil to date.

The second well is expected to target the Eocene Tay Formation at a depth of approximately 6,000 ft on the Carra  Prospect, Block 21/28b (Antrim 100%). The Carra Prospect is a medium gravity target (25 degrees API) delineated by 3-D seismic, on trend and 4 km from the West Guillemot Field. If successful, a discovery on either of these prospects would add significant resources to the scheduled development of the Fyne Field, located 3 km to the northwest of Carra.

Antrim intends to use the proceeds from its recent equity issue to fund the drilling program but will also invite  participation from industry partners.

About Antrim Energy Inc.

Antrim Energy Inc. is an international oil and gas exploration and production company, headquartered in Calgary, Canada.

Antrim’s strategy is to pursue a strategy of balancing longer term and capital-intensive investments in the UK North Sea with shorter investment cycle on-shore exploration and production opportunities. Antrim also considers other global exploration opportunities as they arise.

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Source:Antrim Energy,  March 29, 2011;Image: Awilco Drilling