Independent Oil and Gas (IOG) said today that another 100 billion cubic feet (bcf) of gas had been detected across two of its southern North Sea licences.
London-listed IOG said probable reserves contained in Harvey and Elgood had been revised up to 490bcf to 382bcf following seismic remapping work by Beagle Geoscience.
IOG, whose shares were up 4% in early trading, has also been granted a three month extension to Harvey and a two year extension for Skipper, east of Shetland.
The firm wanted more time to work on the assets before making further commitments to them.
IOG chief executive Mark Routh said: “We are delighted with the results of the excellent technical work done by Beagle Geoscience. This has really vindicated our strategy of acquiring licences containing overlooked discoveries near to our existing assets and reworking the data using the very best technical resource.
“Our gas portfolio is now estimated at nearly half a trillion cubic feet of P50 resources, or more than 82 million barrels of oil equivalent (“MMBoe”), that we believe could all be developed via our cost-efficient hub strategy utilising the same export route.
“Funding discussions are progressing well in parallel with the technical work and we are pleased to have a number of large institutions interested in partnering with us to deliver these substantial gas resources to the UK market.”
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