Ithaca Energy has expanded its core position in the Greater Stella Area (GSA) off the coast of the UK with the acquisition of additional interests in the Vorlich and the Austen satellite discoveries.
The company signed agreements with Engie E&P, Ineos and Maersk to acquire a complete stake and operatorship of licence P1588 (Block 30/1f) that contains approximately 10%-20% of the Vorlich discovery.
With the execution of the agreements, Ithaca’s overall interest in the Vorlich discovery will increase to around 33%.
Vorlich is located approximately 10km north of the company’s GSA production hub and was discovered and appraised in 2014 with exploration well 30/1f-13A,Z and 13Z.
The discovery is estimated to contain gross proven and probable undeveloped reserves of 24MMboe.
After completion of the acquisitions, licence P363 will be 80% owned by BP as operator and Ithaca will hold a 20% interest. Licence P1588 will be owned by Ithaca as operator with 100% stake.
Ithaca Energy CEO Les Thomas said: "We are very pleased to announce this group of low cost acquisitions that further expand our core Greater Stella Area portfolio.
“This is in line with our 'hub and spoke' strategy for maximising the value of the central infrastructure that has been put in place for the start-up of production from the Stella field."
Separately, the company also signed an agreement with Engie E&P to acquire a 75% interest and operatorship of Licence P1823 (Block 30/13b), which contains the Austen discovery located about 30km south-east of the GSA hub.
A number of wells have been drilled on the Austen upper jurassic oil / gas-condensate accumulation.
Upon completion of the acquisition, Ithaca will operate the Austen licence with 75% interest and Premier Oil will own a 25% stake.
Image: Stella North Drill Centre. Photo: courtesy of Ithaca Energy Inc.