United Oil & Gas PLC ("UOG"), the high growth oil and gas company with a portfolio of production, development and exploration and appraisal assets is pleased to announce that it has received approval from the Jamaican Government to take forward the Walton Morant Licence, Jamaica, on a 100% operated basis.
· United has been assigned Tullow Jamaica Ltd's 80% equity in the Walton Morant licence for a nominal fee, leaving the Company as operator and 100% equity holder
· Initial Exploration Period extended for 18 months by the Government of Jamaica
· Highly prospective frontier basin with compelling evidence for the presence of a working petroleum system
· Work programme underway to further de-risk the Colibri prospect and other targets ahead of a drill decision
· A farm-out process is ongoing, and with United now as operator, we look forward to taking full ownership of the process and driving it forward
· The Colibri prospect has been independently estimated to contain gross unrisked mean prospective resources of 229 MMstb, and up to 513 MMstb in a high-case scenario
Following agreement with the Jamaican Government, Tullow Jamaica Ltd's 80% equity and operatorship has been transferred to United for a nominal fee, and the PSA has been amended to extend the Initial Exploration Period for 18 months. A portion of the licence has been voluntarily relinquished, leaving a more focussed area of c. 22,400km2 that still incorporates all of the identified prospectivity.
With the extension to the Initial Exploration Period, United now has until the 31st January 2022 before the drill-or-drop decision is required.
United plan to complete a work programme to further de-risk the high-graded Colibri prospect and perform detailed interpretation of the numerous follow-on targets, including Moonraker,Thunderball, Moneypenny, Jaws, Goldfinger, Vesper, Oriole, Earspot and Rumpspot.. This cost-effective activity will be informed by the feedback from companies who have engaged with United and the previous licence operator in the data room process to date. It is believed this work will have a significant impact on the continuing farm-down process.