LONDON — Reabold Resources has a conditional agreement to acquire North Sea E&P company Simwell Resources.
The transaction would strengthen Reabold's position in the emerging Zechstein trend in the southern UK North Sea area.
Simwell has a 30% interest in license P2332 following a farmout to Shell U.K. (operator, 70%). In August 2019, Shell acquired a 640-sq-km 3D seismic survey over the concession, covering Simwell’s cost, and parts of adjacent license P2252, containing the Pensacola Zechstein prospect.
Shell and partner Deltic Energy will drill a well on Zechstein in the current quarter; a success could de-risk similar prospects identified in P2332.
Another 3D survey over Simwell’s other licenses in summer 2019 (P2329, P2427 and P2486) was followed by 3D prestack depth migration, which has provided a high-definition view of the Zechstein Hauptdolomite play.
Analysis indicates various prospects with four-way closure, on-trend with the Ossian-Darach oil discovery, about 40 km to the west.
In May UK North Sea independent Corallian 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%).
09.28.2022
