Statoil Farms into Turkish Unconventional Gas
Norway’s Statoil said May 16 it has signed a binding agreement to farm into two unconventional gas exploration licences covering 540 km2 in the European part of northwest Turkey.
It will have a 50% interest in the Banarli licences, while their Toronto-listed operator Valeura Energy will retain the other 50%. Shallow formations above 2,500 metres will be 100%-retained by Valeura.
The work programme envisages drilling an exploration well in late 2016 or early 2017 to test unconventional gas potential in the deep parts of the basin. A Statoil spokesman told NGE: "We are targeting tight gas."
The licences, in Thrace, are close to infrastructure in a region where gas has been produced since the 1920s, says Statoil. The farm-in is pending government approval, expected by end-September 2016.
“Entry into northwest Turkey is in accordance with our exploration strategy to build a diverse portfolio of low-commitment frontier opportunities with impact potential,” says Erling Vagnes, senior vice president for Statoil`s exploration activities in the northern hemisphere.
Meanwhile UK-based unconventional explorer San Leon said May 16 it will relinquish “a number of Polish early-stage exploration licences” but retain “the majority of the company’s core Polish portfolio of appraisal and development, as well as shale appraisal”. It has also decided to exit its interests in Romania. San Leon gave details in the course of an update about its Nigerian conventional oil and gas acquisition.
Mark Smedley