Firm sees more M&A activity
Parkmead doubles stake in gas field
Parkmead, the UK and Netherlands focused independent oil and gas group, has agreed a deal with Verus Petroleum to acquire the remaining 50% interest in UK North Sea Licence which contains the Farne Extension prospect and a further four prospective leads.
The Aberdeen-based company already holds a 50% interest in the licence. The blocks are situated in the Southern Gas Basin of the UK North Sea, directly to the south east of the Breagh gas field.
Parkmead’s geoscientists intend to obtain new high-quality 3D seismic data in order to refine the largest targets on these blocks, and carry out seismic attribute analysis to predict good quality reservoir areas. This new data will be analysed to de-risk the targets ahead of drilling decisions.
Parkmead has a 100% track record of drilling success in the UK Southern Gas Basin to date. The company has drilled two wells in the area, a horizontal appraisal well at Platypus, which flow tested at 27 million cubic feet per day, and an exploration well at Pharos which discovered a new UK gas field.
The company is continuing to analyse a number of further value-adding opportunities, including UK and Netherlands based acquisitions, and is focused on strengthening its position in these core areas of the group’s portfolio.
The business development team said it sees an upturn in M&A activity in the industry, and its strong and debt free balance sheet positions the company well to take advantage of the improving environment.
Tom Cross, executive chairman, said: “We are delighted to double our stake in this attractive area, which expands Parkmead’s portfolio in the Southern Gas Basin.”