(Dublin) Island Oil & Gas and Encore Oil has formed a co-operation agreement concerning their development prospects in the UK and Irish offshore sectors. Island has also granted EnCore the option of acquiring 20% of its recently awarded Frontier Exploration License 1/04 in western Ireland's Porcupine Basin, containing the undeveloped Connemara oil field.
BP discovered Connemara in 1979 after testing well 26/28-1, which flowed 5,590b/d from Jurassic reservoirs. Statoil attempted to appraise and develop the field in 1997, estimating oil in place at 220 MM bbl, but was defeated by the low oil price at the time. Island has just reprocessed 2D and 3D seismic over the field, in order to improve seismic imaging of faulting and of the main oil-bearing reservoirs.