Norwegian independent and market favourite Revus Energy has farmed into two northern North Sea blocks to mark its debut in the U.K. sector, it was learned Tuesday.
Revus will take up a 33.5 percent stake in Encore Oil and Sterling Resources Blocks 210/29a and 210/30a.
Under the terms of the farm-out agreement, Revus will pay 50 percent. of the costs of drilling an exploration well up to a total gross cost of £10 million and 33.5 per cent of well costs, if any, above £10 million, a statement said, adding, “It is expected that a well will be drilled on the 'Bowstring East' prospect in 2008.
The move leaves Encore with 26.6 percent and operator Sterling with 39.9 percent.
The acreage is contained in a single traditional license said to hold "a number of stratigraphic traps" characteristic of later North Sea oil and gas finds. Nearby in the East Shetland Basin lie the Heather, Hudson and Tern Fields.
ws@oilgas24.com
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