PA gains UK license extensions

Swedish independent PA Resources has agreed to relinquish UK offshore licenses P1318, P1319, and P1336. In exchange, Britain’s Department of Energy and Climate Change has approved a one-year extension to PA’s P1342 license. It has also extended the terms for license P1529 by a further two years.

Offshore staff

STOCKHOLM, Sweden --Swedish independent PA Resources has agreed to relinquish UK offshore licenses P1318, P1319, and P1336.

In exchange, Britain’s Department of Energy and Climate Change has approved a one-year extension to PA’s P1342 license. It has also extended the terms for license P1529 by a further two years. Here PA is farming out 48% of its interest and operatorship to Centrica subsidiary Venture North Sea, and in return, Venture will finance 100% of the costs of a 3D seismic survey completed last October.

Among other permits where PA has interests, seismic surveys are being conducted on block 174b in the UK’s Inner Moray Firth, and at Dutch North Sea block Q7/10a. Both blocks are described as environmentally and operationally sensitive.

On Danish licenses 11/06 and 12/06, PA has identified prospects in the range 20-50 MMbbl. This year it is focuses on purchasing long-lead time equipment, ahead of a potential drilling start either late this year or early in 2011.

The company also plans to acquire 4-6,000 km (2,485-3,728 mi) of 2D seismic data between July and October over block 2008/17 offshore western Greenland.

02/17/2010

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