Offshore staff

LONDON -- Endeavour Oil has reached agreement in principle with Apache to participate in two exploratory wells in the UK North Sea later this year. Under the farm-in arrangement, Endeavour would give Apache the second slot of its two-well drilling commitment for a semisubmersible rig.

In return, Endeavour would acquire a 10% interest in the Howgate prospect in North Viking Graben area Block 9/4a, in the event of a discovery. The well will target an Upper Jurassic sandstone updip of a previous discovery well. Under the same arrangement, Endeavour would pick up 10% of the Bacchus prospect in block 22/6a, currently being drilled to test the commercial potential of a well that flowed oil from Upper Jurassic sandstone in 2005.

Later this month, Endeavour aims to use the first of the semi's two slots to drill the Columbus prospect in Block 23/16f.

10/06/2006