Desire Petroleum has said a farm out process on its Falklands acreage has been held back by uncertainty over the timing and scope of the development of the Sea Lion oil field.
A lack of a firm date for the mobilisation of a rig to the north Falkland basin for a new exploration campaign had also impacted the conclusion of the process, it said.
Desire Petroleum, which holds 40% equity in licence PL004b, welcomed indications by partners in the block, Premier Oil (operator) and Rockhopper Exploration, that a new exploration program could start on there in Q4 next year (2014), subject to rig availability.
Premier Oil, operator, and Rockhopper expect one exploration well to be drilled on the licence, said Desire.
The well, at the Zebedee location, should test the Ninky North prospect stack, with gross best case unrisked prospective oil resources in multiple targets of 260MM bbl, according to a Senergy competent persons report, 2012).
The well should also provide a southerly appraisal of the Casper South oil reservoir, said Desire.
Premier Oil has indicated that the neighbouring Sea Lion development is likely to be a phased project, with final project sanction targeted for the end of 2014.
The first phase would be in the northern part of the field, with a likely second phase in the south to include the extension into PL004b.