In early 2014 Petrel farmed out operated interests in frontier exploration licenses 3/14 and 4/14, with Woodside agreeing to cover its cost for initial work, seismic and one well.
Woodside has since commissioned 3D seismic over FEL 3/14 and the results are pending. However, following analysis of data relating to FEL 4/14 Woodside decided to drop this license without completing the seismic program: Petrel claims this is a breach of an agreement to acquire 900 sq km (347 sq mi) of seismic over the area.
The two parties have failed to reach agreement over the issue and arbitration is under way in London.
Petrel added that Woodside also offered a carry on new acreage the Australian independent had secured under Ireland’s 2015 licensing round, but did not complete what Petrel thought was an agreement. This too will form part of the arbitration proceedings.
Last summer Petrel independently obtained two licensing blocks covering more than 924 sq km (357 sq mi) in thePorcupine basin: The company is working on seismic and well data studies, and is also acquiring additional seismic.
On LO 16/24 and particularly the area covering block 35/1, there are known source rock and good reservoir sands.
As for LO 16/25, the main target identified so far is on block 45/27 within the license option.