Antrim Energy, the Canadian oil and gas explorer has lost its majority partner in the frontier exploration licence (FEL) off Ireland’s west coast.
Kosmos Energy Ireland, intends to witdraw from from the licence which is located in the Porcupine Basin, having previously acquired 75% interest and operatorship in 1/13 in 2013 in exchange for carrying the full costs of the 3D seismic programme and reimbursement to Antrim of a portion of the past exploration cost incurred on the blocks.
The initial three year term of the FEL expires in early July 2016. Antrim will work with Kosmos to review in greater detail the work completed to determine how best to move FEL 1/13 forward.
Antrim said results from the acquired 3D seismic,reinforced Antrim’s interpretation based on 2-D seismic, that the geology was similar to many of the recent oil discoveries offshore West Africa.
Anthony Potter, Antrim’s CEO commented “While we are disappointed with Kosmos’ decision not to continue, their decision to exit the Porcupine Basin should be considered in the broader context of their portfolio and markets.
“Several exciting prospects and leads have previously been identified on FEL 1/13 and despite volatile commodity markets and investment sentiment moving away from exploration we remain optimistic that FEL 1/13 would be an attractive addition to the right exploration portfolio.”