Elaine Maslin, 1st June 2012
Onshore oil and gas explorer Europa Oil & Gas has said its Berenx onshore France discovery could be a “company maker”.
The firm has just published resource estimates which suggest the Berenx Deep gas find in the Aquitaine basin, southwest France, could have 277 billion cubic feet of net contingent gas in it.
Overall, the competent person’s report by ERC Equipoise, put Europa’s unrisked UK and France resource base at 50 million barrels of oil equivalent. This includes 3.7 million barrels of unrisked prospective oil in the firm’s three onshore UK prospects – Broughton, Wressle and Holmwood – as well as 0.65 of proved and probable reserves in Europa’s UK producing fields, Firsby, Crosby Warren and Whisby. Most are in the Lincolnshire area.
The firm has 33.34% stakes in Broughton and Wressle and 40% in Holmwood (near Dorking). It is 100% owner of West Firsby and Crosby Warren and has 65% in Whisby.
Chief executive Hugh Mackay said: “This independent assessment supports out view that our UK exploration assets, including Wressle, Broughton and Holmwood, each have the potential to create significant value for shareholders, while Berenx in France could be the company maker we believe it is.
“At 50.5 million barrels of Oil Equivalent, the CPR’s estimate of our core recoverable reserves and potential resources provides a solid asset backing to our current market valuation and will also plat a key role in our ongoing negotiations with potential partners, specifically regarding our French permits.
“In the meantime, we remain on track to participate in the drilling of the Wressle prospect in the UK later this year, which we rate as having a one in three chance of materially adding to our current production of 200 barrels of oil per day.”