InfraStrata Farms Out Channel Interest to Corfe

London-listed independent InfraStrata has said today that it has farmed out an additional 8 per cent interest in English Channel licence P1918 to InfraStrata subsidiary Corfe Energy Limited. 

The divestment of the interest will see Corfe's stake in the project rise from a current 12 per cent stake to a 20 per cent stake. The 8 per cent interest transfer will come from operator InfraStrata's current interest in the offshore Dorset project, bring it from 78 per cent to 70 per cent stake. Third partner in the licence Nautical Petroleum will retain its current 10 per cent stake.

InfraStrata said in a statement today that, under the terms of the agreement, Corfe will take the additional interest in the project in exchange for carrying the first £96,000 of InfraStrata’s expenditure under the licence.

The company says that this financing will enable it to carry out the necessary technical work to assess the licence's prospects.

"The farmout to Corfe is part of InfraStrata’s strategy to bring investment into its projects and de-risk its programme," CEO of InfraStrata Andrew Hindle said today. "This investment by Corfe will fund the project through the initial technical work programme on the licence.

"There are several existing and undeveloped oil and gas discoveries within the licence which will be evaluated initially through reprocessing of existing seismic data acquired primarily in the 1980s."