Deltic Energy PLC Pensacola Well Operations Commenced (2643H)

TIDMDELT

RNS Number : 2643H

Deltic Energy PLC

23 November 2022

Deltic Energy Plc / Index: AIM / Epic: DELT / Sector: Natural Resources

23 November 2022

Deltic Energy Plc ("Deltic" or "the Company")

Pensacola Well Operations Commenced

Deltic Energy Plc, the AIM-quoted natural resources investing company with a high impact exploration and appraisal portfolio focused on the Southern and Central North Sea, is pleased to announce that Shell UK Ltd ("Shell"), the Operator of Licence P2252, has confirmed that the Maersk Resilient rig has been safely installed on the Pensacola location and that drilling operations have now commenced.

Deltic has a 30% working interest in Licence P2252 which is located in the emerging Zechstein Reef play fairway in the Southern North Sea. Deltic estimates the Pensacola natural gas prospect to contain gross P50 Prospective Resources of 309 BCF.

The drilling operations are expected to last between 60 and 90 days and the well has been planned to be plugged and abandoned at the completion of operations. Deltic will update the market upon completion of operations.

Graham Swindells, Chief Executive of Deltic Energy, commented:

"We are excited to have commenced the well operations of our first exploration well on the Pensacola gas prospect. Pensacola is a high impact, potentially play opening prospect and represents what we hope will be the first of many wells as the Company continues to implement its strategy to identify opportunities and discover gas to support the UK's energy needs ."

**ENDS**

For further information please contact the following:

 
 Deltic Energy Plc                                 Tel: [phone] 
                                                    2630 
 Graham Swindells / Andrew Nunn / Sarah McLeod 
 
   Allenby Capital Limited (Nominated Adviser)        Tel: [phone] 
                                                      5656 
 David Hart / Alex Brearley (Corporate Finance) 
 
   Stifel Nicolaus Europe Limited (Joint Broker)      Tel: [phone] 
                                                      7600 
 Callum Stewart / Simon Mensley / Ashton 
  Clanfield 
 
   Canaccord Genuity Limited (Joint Broker)           Tel: [phone] 
   Adam James / Gordon Hamilton                       8000 
 Vigo Consulting (IR Adviser)                      Tel: [phone] 
                                                    0230 
 Patrick d'Ancona / Finlay Thomson / K endall 
  Hill 
 

About Deltic Energy Plc

Deltic has created a strategically located portfolio of high-quality gas exploration licences in the Southern North Sea over a number of licensing rounds. These licences are located in areas that have been underexplored despite significant discoveries such as Tolmount, Breagh, Pegasus and Cygnus, most of which have gone on to be developed and could provide ready access to export infrastructure for any future developments on Deltic's licence acreage.

About Pensacola

Pensacola is a Zechstein Reef prospect located to the north west of the Breagh gas field in the Southern North Sea. Deltic estimates the prospect to contain gross P50 Prospective Resources of 309 BCF, with a 55% geological chance of success, which will rank Pensacola as one of the highest impact exploration targets to be drilled in the gas basin in recent years.

Glossary of Technical Terms

 
 BCF :                           Billion Cubic Feet of gas 
 geological chance of success:   for Prospective Resources, means 
                                  the chance or probability of 
                                  discovering hydrocarbons in 
                                  sufficient quantity for them 
                                  to be tested to the surface. 
                                  This, then, is the chance or 
                                  probability of the prospective 
                                  resource maturing into a contingent 
                                  resource. Prospective Resources 
                                  have both an associated chance 
                                  of discovery (geological chance 
                                  of success) and a chance of 
                                  development (economic, regulatory, 
                                  market and facility, corporate 
                                  commitment and political risks). 
                                  The chance of commerciality 
                                  is the product of these two 
                                  risk components. These estimates 
                                  have been risked for chance 
                                  of discovery but not for chance 
                                  of development 
                                --------------------------------------- 
 Prospective Resources:          Estimated volumes associated 
                                  with undiscovered accumulations. 
                                  These represent quantities of 
                                  petroleum which are estimated, 
                                  as of a given date, to be potentially 
                                  recoverable from oil and gas 
                                  deposits identified on the basis 
                                  of indirect evidence but which 
                                  have not yet been drilled 
                                --------------------------------------- 
 P50:                            a 50% probability that a stated 
                                  volume will be equalled or exceeded 
                                --------------------------------------- 
 

Qualified Person's statement:

Andrew Nunn, a Chartered Geologist and Chief Operating Officer of Deltic Energy Plc, is a "Qualified Person" in accordance with the AIM Note for Mining, Oil and Gas Companies of the London Stock Exchange. Andrew has reviewed and approved the information contained within this announcement.

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November 23, 2022 02:00 ET (07:00 GMT)