UK Deltic Upgrades Selene Prospects

UK explorer Deltic Energy has "materially" upgraded its resources at the Selene prospect and reduced the possibility of failure, it said August 11, following collaboration with 50% partner Anglo-Dutch Shell.

The mid-case resources (p50) estimate of gas initially in place has gone up 44% to 629bn ft³ since last year, while the chances of success have gone up from 39% to 70%.

Further work will focus on potential development scenarios, estimation of recovery factors and project economics which are required to support the well investment decision before the proposed 2022 drilling activity, it said.

CEO Graham Swindells said that the collaboration with Shell supported and enhanced the earlier work completed by Deltic and the "significantly increased gas volumes and decreased risk profile further cements the importance of Selene as one of the largest undrilled Leman Sandstone structures in this mature play. We are encouraged by the level of technical and human resources being deployed on this project by Shell and will continue to work with them towards securing a firm drilling commitment for the proposed 2022 well on Selene."

Reabold Resources announced August 10 that it had dropped its offer for Deltic.