Orcadian Energy plc has given its potential partner a further seven days to sign a definitive deal for the 81.25% farm-out of the Pilot oil licence.
NSTA
The original deadline of 30 November to complete the transaction for P2244 must be signed by 7 December or the company’s interest in the conditional two-year licence will end.
Orcadian yesterday submitted a request to the North Sea Transition Authority to approve assignment of the licence to the operator and the potential partner as operator.
It also sent the current agreed sale and purchase agreement “on the understanding that a fully executed SPA will be filed before 7 December 2023”.
The company said it was in talks with NSTA to confirm that its approach would satisfy the extension conditions for P2244.
“However, if it does not, and in any event if an SPA is not signed by the new deadline, then Orcadian will withdraw the NSTA request and, unless NSTA agree otherwise, Orcadian’s interest in P2244 will automatically cease and determine on the 30 December 2023.
“There can be no guarantee that the SPA with a potential operator will be signed by the new deadline but the directors have every confidence that it will be.”