Premier Oil PLC Award of three blocks in Mexico's Round 3.1 (1602J)

TIDMPMO

RNS Number : 1602J

Premier Oil PLC

28 March 2018

PREMIER OIL PLC

("Premier")

Award of three blocks in Mexico's Round 3.1

28 March 2018

Premier is pleased to announce that it has been awarded Block 30 in the Sureste Basin and Blocks 11 and 13 in the Burgos Basin, in Mexico's Round 3.1 held in Mexico City on 27 March 2018.

Blocks 30, Sureste Basin (Premier 30 per cent)

Premier, together with its joint venture partners DEA (operator, 40 per cent) and Sapura Energy (30 per cent), has been awarded Block 30 in the shallow water Sureste basin, a proven and prolific hydrocarbon province in the Gulf of Mexico. Block 30 is located directly to the south west of Premier's world-class Zama discovery and to the north of the Amoca oil field.

Premier has identified numerous material leads and prospects on Block 30 in the Tertiary clastic plays, typical of the Sureste Basin. Several of the prospects identified exhibit DHIs (direct hydrocarbon indicators) on existing 3D seismic, significantly de-risking the potential of this block. These anomalies are similar to those seen at the Zama and Amoca oil fields.

The forward plan on Block 30 is to acquire further 3D seismic in 2019 ahead of firming up drilling locations for 2020.

Blocks 11 and 13, Burgos Basin (Premier 100 per cent)

Premier has been awarded 100 per cent operated interests in Blocks 11 and 13 in the Burgos Basin where Premier has leveraged its growing understanding of the Mexican shelf to gain early access to this highly prospective basin directly inboard of the prolific deep water Perdido fold belt.

Premier has mapped several structural closures on existing 3D seismic in analogous plays to those proven in the onshore Burgos basin and offshore the US Gulf of Mexico. The exploration targets are Pliocene to Miocene in age and extensive regional mapping and basin maturity modelling suggests access to oil charge.

The initial work programme includes reprocessing existing 3D seismic which will enable Premier to better define the trapping geometries in the extensional play setting and to de-risk a potentially material oil play.

Tony Durrant, CEO, commented:

'The outcome of this highly competitive licensing round is a fantastic success for Premier and its partners. We are delighted to have been awarded Block 30, the most contested block in the Round. This award increases our footprint in the prolific, shallow water part of the Sureste Basin. The award of Blocks 11 and 13 provides us with a low cost entry into the Burgos basin, where we will look to repeat the first mover advantage we enjoyed in the Sureste Basin with the Zama discovery. The awards significantly enhance our existing acreage position in Mexico and have the potential to deliver significant organic growth for our business in the longer term.'

Notes to editors

The full list of bids submitted in Round 3.1 can be found on the CNH website.

 
 Enquiries: 
 Premier Oil plc                     Tel: [phone] 
 Tony Durrant, Chief Executive 
 Dean Griffin, Head of Exploration 
 
 Camarco                             Tel: [phone] 
 Billy Clegg 
  Georgia Edmonds 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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March 28, 2018 02:01 ET (06:01 GMT)