Sterling Energy to exit Block C-10 offshore Mauritania
Source - SMW
Sterling Energy has confirmed that the Operator, Tullow and Sterling through its wholly owned subsidiary Sterling Energy Mauritania, have submitted a notice to not enter the Third Renewal Period in relation to Block C-10, offshore Mauritania and exit the block on the 29 November 2017.
Eskil Jersing, the Company's Chief Executive Officer, commented:
"Our entry into the C-10 block, was prefaced on extensive subsurface work demonstrating potential for both untested inboard Neocomian carbonate and outboard Cenomanian to Albian plays, the latter proven by Kosmos. However, subsequent technical and economic modelling has not matured a viable hub scale opportunity on block.
"We entered the acreage in early 2015, at low cost and capital exposure together with exit options that we felt were of the appropriate risk profile for the block potential. It is unfortunate that we have been unable to define commercially viable hub scale opportunities on the block in this exploration period.
"As a result our relatively low cost exit of $1.125m net SEML is in-line with our consistently disciplined approach to exploration asset execution and capital allocation.
"We would like to thank Tullow and Societe Mauritanienne des Hydrocarbures et de Patrimoine Minier - SMHPM, for their partnership and support on the block."
At 2:21pm: (LON:SEY) Sterling Energy PLC share price was -1.63p at 13.25p