San Leon Acquires Talisman Polska
Gas explorer San Leon Energy has acquired the interests of Talisman Energy at a number of key sites in Poland.
The company, which has major Polish interests, announced it had taken over 100% of the shares in Talisman Polska, Talisman's subsidiary in the eastern European country. This will entail full ownership of the Gdansk W and Braniewo S concessions, and a 50% interest in the Szczawno concession, in the Baltic Basin. The Basin has considerable shale gas mining potential.
To date, Talisman Polska had drilled one vertical well in each concession. The subsidiary is debt-free.
As well as the three concession interests, Talisman Polska's assets are estimated at $10 million (€7.6m), and include cash and drilling equipment.
Analysts say San Leon will now use Talisman Polska's cash to fund the planned fracture of its Lewino-1G2 well in the Gdansk W Baltic Basin concession. The vertical fracture should demonstrate unconventional gas potential of the Lower Silurian and Ordovician shales.
San Leon previously had the major role in exploring the region. Chief executive Oisin Fanning said, of Talisman's change in priorities: "It became clear to us that we had to regain control of the drilling programme as soon as possible to ensure the Baltic Basin work programme continued."
In a statement on its website, Talisman said its decision to leave Poland was due to a strategic decision to concentrate on its two core areas, the Asia-Pacific region and North America/Colombia.
Executive vice-president Paul Warwick said: "I am proud of what our team has accomplished in Poland: a technically successful drilling program and strong relationships with key stakeholders."