New World Oil & Gas officially named operator of Danica Jutland licences
New World Oil & Gas (LON:NEW) has now secured the farm-in deal for the Danica Jutland project in south-west Denmark, after it has officially been named operator by the Danish Energy Agency for Licences 1/09 and 2/09.
At the end of November, the group was formally approved as the operator by its partner, the government-owned North Sea Fund (NSF), but this still needed the nod of the DEA.
The onshore project covers 4,107 square kilometres and is prospective for gas.
The DEA has also approved the transfer of the 80 percent interest in the licences held by Danica Jutland ApS to New World on completion of the earn-in work programme.
Work at the licences has already begun, with the company having hired a local contractor to begin the permitting process for the seismic programme that is planned to commence in the second quarter of 2012.
New World will also begin the tendering for the seismic work immediately. NSF will be contributing its full 20 percent share for all expenditures.
Initially the company will carry out a 50 line-kilometre 2D seismic survey over the area, which will cost approximately US$1.25 million.
Following the first phase of the seismic, RPS Energy will update their Competent Person's Report, expected at the end of the second quarter 2012.
New World chief executive William Kelleher said: "We believe the Jutland licences to be world-class assets and we fully expect a positive CPR at the conclusion of the multi phased seismic programme.
"Going forward, we continue to pursue our stated goal of achieving early production at all our projects .... With this is mind, I look forward to updating our shareholders on our progress at both our Danica Jutland and Blue Creek projects on an on-going basis."
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