European-focused oil and gas firm Europa saw profits rise after describing two of its new projects as potentially ‘company-making’.
The AIM-listed firm saw profits rise to £0.4million for the first half of 2013, compared to a £12.1million loss in the same time last year.
The company, which has farmed out two blocks off the Irish coast to Kosmos, is banking on its new licences to produce significant oil and gas output, with more than 400billion cubic feet of gas thought to be in its gas find in France.
“Significant milestones have been met at two of our most highly prospective projects, each of which has company-making potential,” said chief executive Hugh Mackay.
“In Ireland, not only did Kosmos agree to farm-in to our two offshore licences, but has effectively brought forward the 3D seismic acquisition programme by a year to July 2013. This demonstrates both their ambition and resources and ensures the momentum generated will continue into the winter, as the new data is processed and interpreted.
“Meanwhile in France, the identification of a large shallow gas prospect at Béarn des Gaves with mean un-risked resources of 416bcf and the recent renewal of the permit, allows us to press ahead with well permitting and to reopen the data room for potential farm-in partners.”
The company said it was looking to develop its interest after farming out stakes in the South Porcupine Basin, including the Mullen and Kiernan prospects which the company believes have more than 2billion boe between them. Work on the field is set to be announced following mapping next year, with drilling planned for 2015.
The Béarn des Gaves gas find in France’s Aquitaine basin has also been upgraded following new seismic surveys to more than 400bcf, with the company now having its permit to develop the site renewed.
Europa said the cash received from Kosmos for back costs on the Irish finds would cover the costs of drilling its UK onshore site at Wressle, in Lincolnshire, which is producing at 182boed.
Recommended for you
