CALGARY, ALBERTA and LONDON, UNITED KINGDOM--(Marketwire -08/23/12)- NOT FOR DISTRIBUTION TO U.S. NEWS WIRE SERVICES OR DISSEMINATION IN THE U.S.
Antrim, an international oil and gas exploration and production company headquartered in Calgary, Canada, today announced that it has been informed by operator TAQA Bratani Limited ("TAQA") that drilling operations have commenced for the Contender prospect in UK Northern North Sea Block 211/22a Contender Area (the "Contender Block").
The well, which is being drilled from the TAQA-operated Cormorant North production platform, will target the Jurassic Brent sequence of sandstones at a projected drilling depth of 16,900 feet, east of the North Cormorant Field.
Under the terms of a farmout agreement (as previously announced on August 25 2011), TAQA earned a 60% interest and operatorship in the block by committing to pay 100% of the drilling cost and 100% of the cost to complete the well, with this latter cost to be recovered from production revenue. Should the Contender prospect be developed, production will be processed through the Cormorant North platform.
On execution of the farmout agreement, Antrim's current interest in the Contender Block was reduced from 21% to 8.4%. Upon successful drilling of the Contender well, TAQA will also earn a 35% interest in the adjacent block 211/22a Kerloch area (the "Kerloch Block"), with Antrim retaining a 13.65% interest. The Kerloch Block contains the discovery well 211/22a-10 drilled by Antrim and partners in 2007, which intersected an oil column of approximately 116 feet in the Ness Formation with oil gravity of approximately 32 degrees API. The well was not flow tested, but suspended to allow potential re-entry and future use.
Forward-Looking and Cautionary Statements
Some of the statements in this announcement may be forward-looking including statements relating to Antrim's business plans for drilling of and producing from the Contender prospect. Forward-looking statements include statements regarding the intent, belief and current expectations of Antrim Energy Inc. When used in this announcement, the words "expect", "approximate", "potential" and similar expressions are intended to identify forward-looking statements. Such statements are not promises or guarantees, and are subject to risks and uncertainties that could cause actual outcome to differ materially from those suggested by any such statements, including without limitation, unanticipated delays with respect to the drilling of and producing from the Contender prospect. The reader is cautioned that assumptions used in the preparation of such information may prove to be incorrect. All such forward looking statements involve substantial known and unknown risks and uncertainties, certain of which are beyond Antrim's control. Please refer to Antrim's Amended and Restated Annual Information Form for the year ended December 31, 2011 and dated March 26, 2012 and available for viewing at www.sedar.com, for a list of risk factors. Antrim's actual results could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurances can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that Antrim will derive therefrom. All subsequent forward-looking statements, whether written or oral, attributable to Antrim or persons acting on its behalf are expressly qualified in their entirety by these cautionary statements. Furthermore, the forward-looking statements contained in this news release are made as at the date of this news release.
In accordance with AIM guidelines, Mr. Kerry Fulton, P. Eng and Vice President of Operations of Antrim, is the qualified person that has reviewed the technical information contained in this news release. Mr. Fulton has over 30 years operating experience in the upstream oil and gas industry.