Jersey Oil & Gas plc (JOG) has taken full control of licence P2170, containing the Verbier oil discovery, after completing its acquisition of CIECO V&C (UK) Ltd.
FARM-OUT
The purchase is from ITOCHU Corporation and Japan Oil, Gas and Metals National Corporation (JOGMEC).
JOG paid £150,000 and two contingent payments based on the Oil & Gas Authority’s approval for a field development plan and the potential future development and production of oil from Verbier.
The company said that the licence also had “multiple material exploration prospects” with “high value potential” through tie-backs to the proposed new Greater Buchan Area (GBA) hub.
JOG chief executive Andrew Benitz added the acquisition had added the final component of the GBA to the company’s portfolio.
“This is an important acquisition for our recently launched farm-out process in respect of our GBA development project and increases JOG’s discovered resources, adds material value and exploration upside in addition to useful tax losses that accompany the corporate acquisition.”
Verbier is located in blocks 20/5b and 21/1d.