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Jersey Oil & Gas completes deal to take back Verbier stake from Equinor

Published: 17:19 20 May 2020 AEST

Jersey Oil and Gas PLC -

Jersey Oil & Gas Plc (LON:JOG) said it has now completed the process to re-acquire Equinor’s stake in Licence P2170, in the North Sea, which is host the Verbier discovery.

In return, Equinor receives two milestone payments and a royalty based on volumes produced from the Verbier Upper Jurassic (J62-J64) reservoir

READ: JOG well placed financially and strategically says broker

It is one step in the consolidation of multiple valuable but modest discoveries into a hub development project, to be known as the Greater Buchan Area (GBA) project.

"I am pleased that JOG has completed this important step to acquire an additional interest and operatorship in the Verbier discovery together with material exploration upside to facilitate our plan to develop Verbier as part of our GBA development,” Jersey O&G chief executive Andrew Benit said in a statement.

“We continue to make solid progress on concept select for the GBA and work closely with contractors, other area stakeholders and the OGA on this important project," he added.

Jersey O&G noted that as well as Verbier, Licence P2170 also benefits from multiple material exploration prospects.

Such projects would also potentially benefit from the opportunity of being tied-back to the GBA infrastructure.

Jersey Oil & Gas's Benitz: North Sea an exciting place to explore again

Andrew Benitz of Jersey Oil & Gas PLC (LON:JOG) says pre-funding the seismic being shot over the Verbier acreage in North Sea allows the data to be optimised and is cheaper. Capex for the appraisal programme will be at the upper end of £9-11mln including seismic. Drilling at...

on 26/4/18