Baron Oil has officially increased its stake in a UK North Sea offshore block containing the Dunrobin prospect, dubbed one of the few remaining sizeable undrilled UK North Sea targets.
Baron Oil said back in August that oil companies Corallian and Upland, its partners in the Offshore Licence P2478 in the Inner Moray Firth area of the North Sea, had agreed for Baron to increase its interest in the block from 15% to 32% in exchange for paying 100% of the costs of the remaining Phase A work commitments up to a cap of £160,000.
Now, following formal consent given by the United Kingdom Oil & Gas Authority, Baron has increased its interest as planned.
Baron Oil has said that Dunrobin is one of the few remaining targets yet to be drilled in the UK North Sea with estimated gross mean prospective resources of the order of 100 MMbbl. The Beatrice field c.20km north of Dunrobin produced over 140 MMbbl from the same petroleum system, the company said.
"Work on the outstanding Phase A technical work commitments is ongoing with the key component, that of 3D seismic reprocessing, expected to be delivered during the first half of 2022. The Board believes that this will provide the partners sufficient time to mature the Dunrobin Prospect and to engage with potential drilling partners in due course. Baron has the role of technical overseer in relation to the Licence's remaining Phase A work commitments," Baron Oil said.
"Well costs are expected to be modest at c. £7 million gross as the prospect lies in shallow water of less than 100 meters and the total drilling depth of the well is proposed to be approximately 660 meters," the company said.