Star Energy pulls out of Esmond gas storage facility project

Following an extensive evaluation of the results of the recent Esmond well, Star Energy Group and EnCore Oil have concluded that from a technical perspective its use as a gas storage facility would appear to be viable, albeit with a somewhat more complex development and start up phase.

Offshore staff

LONDON -- Following an extensive evaluation of the results of the recent Esmond well, Star Energy Group and EnCore Oil have concluded that from a technical perspective its use as a gas storage facility would appear to be viable, albeit with a somewhat more complex development and start up phase.

Star Energy has, however, indicated that from an economic and strategic perspective it does not meet their current investment criteria, and as such they no longer wish to proceed into the front-end engineering and design phase as required in the farm-in agreement with EnCore. EnCore is hoping to attract further investment and move forward with the project.

01/28/2009

More in Company News