New World Oil and Gas has secured a new extension for the planned work at its Danica Resources Project in Southern Denmark.
The extension follows a similar request in October, which granted the operator an additional eight months to begin work on licence 1/08.
The project, which covers more than a million acres on the south eastern edge of the country, has already identified 22 potential oil and gas prospects.
The terms of the new agreement require that New World carries out a new surface geochemical survey over a minimum of two prospects to clarify the site’s potential.
To date, New World has acquired a total of 205km of 2D seismic on the licence where it currently holds a 25% working interest in the project.
The company also committed to acquire 3D seismic data over one or more prospect by January 31, 2015 in order to be able to commit to drill one exploration well by 31 March 2016, or relinquish the licence, the firm said in a statement.
New World could potentially be granted a further extension by the Danish Energy Agency if required, the statement added.
“This licence extension and the agreed work commitments will be very beneficial to our on-going discussions with potential farm-in partners,” said William Kelleher, New World’s chief executive.
“Having already made progress in unlocking the value of Danica Resources through seismic acquisition and the identification of a number of prospects and leads, we look forward to further de-risking the licence through our newly agreed work programme with our partners.”
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