San Leon Signs LoI with Baker Hughes for Four Wells in Poland

Ireland-based San Leon, which many commentators foresee to be the first fracker in Europe, signed a Letter of Intent with Baker Hughes Poland to start gas production from four existing wells in Poland. 

The joint development comprises the Siekierki Gas Field 1 and Krezesinki-1 well. Under the proposed agreement, Baker will cover all the expenses and, in return, it will receive a portion of the profits generated from production.

“We welcome Baker Hughes’ involvement in Siekierki. This is a real milestone for San Leon and could lead to the Company’s first significant production in Poland,” Oisin Fanning, San Leon Executive Chairman, commented in a note released on Wednesday.

The two companies have started the negotiations to define the production and commercial terms.

Last month, the explorer backed by George Soros' Blackrock announced the successful completion of flowing testing in the Ordovician shales. The company plans to spud its first horizontal well and multi-stage frac at Lewino 'in the near future'.