Antrim Energy Inc. has received confirmation from the operator of the Causeway Licences that a "Heads of Terms" agreement has been signed for the export of Causeway crude via the Cormorant North production platform in the UK North Sea.

The Cormorant North platform is operated by TAQA Bratani Limited and is located approximately 15 km west of the Causeway Field.

The operator has confirmed that a Field Development Plan (FDP) for the Causeway Field (Blocks 211/22a South East Area and 211/23d) is expected to be submitted for approval to the UK Department of Energy and Climate Change (DECC) this year, with production start up anticipated mid-2012.

The Causeway Field has proved plus probable reserves of 15.6 million barrels of oil (gross), assessed by independent reserve evaluation engineers McDaniel & Associates Consultants Ltd. as at 31 December 2010. Antrim currently holds a 65.5% interest in the property, subject to a previously announced agreement with Valiant Petroleum plc whereby Valiant has the right to acquire a 30% interest from Antrim by complying with various conditions, including achieving DECC approval of the FDP and carrying Antrim for its development expenses up to US $21.75 million.

Stephen Greer, President and CEO of Antrim, commented,"This agreement achieves a significant milestone towards the development of the Causeway Field. An agreed export route to existing infrastructure is vital to the successful development of the field, which is scheduled to start production next year".

"This is the second major announcement concerning Antrim's UK North Sea developments, following closely the recent announcement (4th April, 2011) that Premier Oil UK Limited exercised its right to acquire a 39.1% interest in the Fyne Licence and is committed to drill the East Fyne appraisal well in UK North Sea Block 21/28a later this year."

Tags: Antrim Energy Inc.