ANTRIM FARM-OUT OPPORTUNITIES
Porcupine Basin, Offshore Ireland
The undrilled Lower Cretaceous fairway along the eastern Porcupine Basin margin off the SW coast of Ireland could contain extensive oil-mature source rocks and has the potential for multi-horizon stratigraphic traps. Frontier Exploration Licence 1/13 (Antrim 25%, see map) is well positioned in the Porcupine Basin for new Cretaceous play types and the established Jurassic targets.
Antrim acquired Licensing Option 11/5 covering an area of approximately 1,409 square kilometresin the Irish 2011 Atlantic Margin Licensing Round on October 17, 2011. A work programme was completed that included 2D seismic reprocessing to recover amplitudes not preserved in the original processing, pre-stack AVO inversion, post-stack inversion, and forward seismic modeling to calibrate and characterize realistic reservoir/fluid response in the fairway of interest.
Following completion of the LO 11/5 work programme, Antrim entered into a farmout agreement with Kosmos Energy Limited where in Kosmos earned 75% interest in LO 11/5 by committing to carry the full costs of a 3D seismic programme within the Licensing Option area and reimbursement of a portion of Antrim's past exploration costs. Kosmos and Antrim subsequently were successful in converting LO 11/5 to Frontier Exploration Licence 1/13. As per the terms of conversion, the licence area was reduced to 1,006 square kilometres.
The 3D seismic programme over FEL 1/13 was completed in Q3 2013.
There are several other licences in the Porcupine Basin in vicinity of FEL 1/13. Exxon Mobil is opeartor of a Frontier Exploration Licence in Block 44/18, 44/23, 44/24, 44/29 and 44/30 to the south west, containing the Dunquin Prospect.
An exploration well was drilled in Q2 - Q3 encountered a thick overpressured high porosity carbonate reservoir system. Initial interpretation was that the reservoir was water bearing, with evidence of a possible residual oil column. As planned, the well was plugged and abandoned.
Eni Ireland is operator of a Frontier Exploration Licence in Block 43/19, 43/20, 43/24, 43/25, 43/28 and 43/29 to the south southwest. In cooperation with Ireland's Department of Communications, Energy and Natural Resouces, Eni Ireland is managing a 18,000 kilometre 2D seismic program over the Irish Atlantic Margin.
Kosmos in 2013 also farmed into Licensing Options held by Europa Oil and Gas to the west of FEL 1/13 in 43/9, 43/10 and 43/14, and to the south in Blocks 54/1, 54/2, 54/6 and 54/7. These Licensing Options have been converted to Frontier Exploration Licences and were incorporated into the same 3D seismic campaign completed in 2013 in FEL 1/13.
Also in 2013, Woodside Petroleum Litd., farmed into Licensing Options held by Petrel Resources plc in Blocks 45/6, 45/11 and 45/16 and Blocks 35/23, 35/24, and 35/25, as well as Bluestack Energy Limited's Licensing Option in Blocks 35/25, 35/30, 36/21,44/5 and 45/1.
Cairn Energy in 2013 farmed into Frontier Exploration Licences in Blocks 35/8 and 35/9 and in Blocks 35/2, 35/3, 35/4 and 35/7, as well as a Licensing Option in Blocks 35/13, 35/14, 35/15, 35/18, 35/19 and 35/20. FEL 4/08 in Bocks 35/8 and 35/9 contains in Buren and Spanish Point gas discoveries. An additional exploration well is planned for the Spanish Point prospect in 2014. Providence Resources in addition to maintaining intersts in the Cairn farmouts, remains opeartor of the Licensing Option in Blocks 52/5, 52/10, 52/15, 53/1, 53/6 and 53/11.
To the northwest of FEL 1/13, Two Seas Oil and Gas acquired a Licensing Option in Blocks 34/19, 34/20, 34/24, 34/25, 35/16 and 35/21 in 2012 and subsequently entered into a farmout agreement with PGS Nominees.
Contingent on the results of the 3D seismic programme in 1/13, exploration drilling may proceed. Antrim anticipates that a further farmout of their current 25% interest in the licence will be offered at that time.