i3 Energy plc has signed the farm-in agreement with Europa Oil & Gas Ltd for the UK Seaward production licence P2358, block 13/23c (Serenity) in the Outer Moray Firth area of the North Sea.
DRILL DATE
Following the farm-out, i3 will retain a 100% working interest in the remainder of Block 13/23c which contains the Minos High prospect and Liberator discovery.
Chief executive Majid Shafiq said that the Serenity well was expected to spud in late Q3 2022 following the planning and permitting process.
TERMS
The deal follows Europa’s completion of its £7 million fundraise to pay for its share of the Serenity appraisal well.
The company will acquire a 25% non-operated working interest in a new block within licence P2358 Block 13/23c (new Serenity block) by funding a 46.25% paying interest for one appraisal well on the field.
i3 will retain a 75% operated working interest in the new Serenity block.
The well is estimated to cost circa £14m and Europa’s 46.25% paying interest will be applied up to a capped gross well cost of £15m.
Completion of the farm-out is subject to approval of the North Sea Transition Authority.