LONDON — U.K. North Sea independent Corallian has received a non-binding takeover offer, and the board is in negotiations with the potential purchaser.
According to Reabold, a 49.99% shareholder in Corallian, the licenses to be acquired are P2396, P2464, P2493, P2504 and P2605 (100% interest) and P2478 (36%).
Not included is P2596 west of Shetland, which contains the Victory gas development opportunity. Following the transaction, Reabold would become license administrator, but it does not intend to become operator and would therefore seek farm-out opportunities.
Main features of the proposed transaction include:
- P2605: northwest of the Victory license, containing British Gas’ 1984 Laxford gas discovery well, which flowed 17.5 MMcfg/d from the Palaeocene Vaila sandstone, and the Scourie prospect in the same sandstone play;
- P2478: in the Inner Moray Firth, containing the shallow-water Dunrobin prospect; and
- P2464: in the East Shetland basin containing the Unst Eocene Frigg sandstone prospect, which exhibits a seismic amplitude anomaly similar to that seen in the nearby Nuggets Field, and the Jurassic Quoys prospect.