DUBLIN, Ireland – Providence Resources P.l.c. has terminated the farm-out agreement with SpotOn Energy for the Barryroe license (SEL 1/11) in the North Celtic Sea because key financing conditions were not met.
Providence will now lead the project development and funding arrangements.
The early development scheme project is expected to include: three production wells with horizontal completions into the A-sand reservoir; one water injection well into the A-sand reservoir; subsea production trees with manifold and umbilicals tied back to a leased FPSO; and processing capability will include oil processing/water and gas injection/power generation and flow assurance facilities.
The early oil development scheme is based upon the economic recovery of about 48 MMbbl of oil or 16% of the independently assessed 2C resources within the SEL 1/11 license area.
Providence has an existing government approval to undertake an offshore site survey at the Ksite location. This work is scheduled to be completed before the end of 2021, ahead of a planned drilling program during 2H 2022.