24/11/2020

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Egdon Resources PLC seals Yorkshire offshore exploration partnership with Royal Dutch Shell Plc

Shell will drive a 3D seismic programme in 2021 and will then advance towards a well expenditure conclusion.

() has sealed its proposed partnership with Plc () in the Resolution and Endeavour fuel discoveries, off the North Yorkshire coast.

It will come immediately after Uk regulator Oil & Gas Authority (OGA) authorized the transfer of a 70% curiosity in both equally assets to Shell, leaving Egdon with 30%.

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Shell is covering 85% of the expenses in an forthcoming 3D seismic programme, to study both equally Resolution and Endeavour, which is slated to get spot just before the conclude of May perhaps 2021.

“We are delighted to have done the transfer of curiosity and operatorship to Shell in regard of these vital, and potentially worthwhile, licences for Egdon,” explained Mark Abbott, Egdon managing director.

“The concentrate will now be on progressing appraisal action on the Resolution and Endeavour fuel discoveries.”

Abbott additional: “We glance forward to building on our excellent operating connection with Shell and benefiting from their sizeable throughout the world operational knowledge and experience.”

The farm-out arrangement caps the total cost have at the equal of US$5mln, thereafter Egdon would pick up 30% of the monthly bill. Shell in the meantime also commits to pay back for 100% of research and manpower expenses as a result of to the predicted well expenditure decisions, adhering to the surveying.

A Schlumberger assessment of  the Resolution fuel discovery, in 2019, believed some 231bn cubic toes of contingent fuel sources – with the P90 to P10 vary set at 100bn to 389bn cubic toes – in the meantime the Endeavor ‘satellite’ discovery was believed to have 18bn, with the vary set at 10bn to 28bn.

Resolution was found originally by Whole in 1966 and the pair of assets were obtained by Egdon in 2019’s 26th Uk Seaward Licensing Spherical.