Corallian Energy, with its partners Upland Resources and Baron Oil, has signed a work-sharing agreement with a "large European E&P company" that might lead to a farm-out of a stake in the offshore license P2478 in the Inner Moray Firth, Scotland, UK.
The parties have signed a Work Sharing and Confidentiality Agreement, and Corallian and its partners have agreed to cease marketing a joint farm out to industry until September 30, 2020, during which the unnamed large European E&P firm will complete its own regional technical work and share its data and interpretations over the area with the P2478 Joint Venture Partners.
Corallian will continue to provide data to the Interested Party under the confidentiality arrangements. By mutual agreement, Corallian and Joint Venture partners may extend the exclusivity period with the interested party until December 31, 2020, should the company wish to negotiate farm-in terms to earn an interest in the license.
The P2478 license (Corallian 45% interest and license administrator) contains the Dunrobin prospect. The prospect consists of three large shallow Jurassic rotated fault blocks that are mapped mostly on 3D seismic data within a single culmination with Direct Hydrocarbon Indicators. Reservoir targets are the Jurassic Beatrice and Dunrobin sandstones, overlain by a thick Kimmeridge Clay to seabed. The prospect is approximately 30km offshore with a water depth of approximately 75m.
The Dunrobin structure covers an area of approximately 40km2 and the prospect Pmean prospective resources of 174 mmboe, with potential for 396 mmboe (P10) as assessed by Corallian.
"Corallian is pleased to be able to continue to work positively with the Interested Party to progress the project during these capex constrained times, and hopes it will lead to agreeing a farmout by year-end," Corallian said.