IOG was established in February 2011, combining the UK assets of MOST Inc. and Ebor Energy Inc. IOG recently completed the acquisition of the other 50% of the licence covering Blocks 48/22b and 48/23a in the Southern North Sea. IOG now owns 100% of the Blythe gas field in the Southern North Sea (blocks 48/22b and 48/23a) and 50% of the Skipper licence south east of the Shetlands (block 9/21a).
IOG was awarded the Harvey and Truman promote licence (blocks 48/23c and 48/24b) at 100% working interest in December 2013. IOG was awarded the Elgood, Hambleton, Tetley & Rebellion promote licence (block 48/22c) at 100% working interest in March 2015.
IOG is expected to take Transocean’s Sedco 704 semi-submersible drilling rig on contract and commence the drilling of the appraisal well on the Skipper oil discovery in the second half of July 2016. Skipper lies in Block 9/21a in licence P1609 in the Northern North Sea and IOG is the 100% owner and operator of the licence. The well is expected to take approximately 22 days to drill. The directors of the Company believe an approved field development plan on Skipper would convert the Board’s estimated 34.1 MMBbls of contingent resources, based on a 25% recovery factor, into 2P reserves with 53.5MMboe 2C resources in Vulcan Satellites, giving IOG a target 2P reserves of 100MMBoe.
Upon completion of the Blythe and Cronx acquisitions IOG will have five licences in the North Sea. All of these licences will now be owned 100% by IOG and subject to OGA approval will be operated by IOG. IOG has a 100% working interest in two other licences, one awarded in the 27th licensing round and another in the recent 28th licensing round. One is to the east of Blythe containing the Truman prospect and Harvey discovery (IOG estimate 16 BCF or 3.1 MMBoe) and the other is between the Blythe and Cronx licences which contains the Elgood and Hambleton discoveries and the Tetley and Rebellion prospects. Both these 100%-owned licences have potential resources that could be tied back to nearby infrastructure or to the Blythe development.
VOX Market Podcast - 20 June 2016