On 27 July 2015 the Oil and Gas Authority announced the conditional award of a Promote Licence over Block 41/24 in the Cleveland Basin to a joint venture comprising Arenite Petroleum Limited (50%) and Europa Oil & Gas Limited (50%). The Licence has been awarded as part of the 28th Seaward Licensing Round Second Tranche of Offers.
Block 41/24 adjoins the Yorkshire coast and contains the 41/24a-1 & 2 stranded gas discoveries in Permian-aged Zechstein Carbonates. This block was previously held by Europa (P.1131) from the 21st Round. Today’s exploration emphasis is Carboniferous prospectivity in the Namurian and Dinantian sequences. The adjoining onshore extension of the Cleveland Basin contains a number of gas fields and discoveries including Kirby Misperton, Ebberstone Moor and Cloughton.
The Promote Licence is for two years duration and requires financial, technical and environmental capacity to be in place and a firm drilling (or agreed equivalent substantive activities) commitment to have been made by the end of the second year. Once these milestones are achieved, the licence will become a Traditional licence with a duration of up to a further 24 years.
Arenite CEO Mike Cooper said “We are very pleased to announce this award. We have been waiting for OGA’s announcement to effectively launch Arenite. We have amassed technical data and expertise on Carboniferous prospectivity in this area over the last few years which resulted in our successful application. We also applied for acreage in the onshore Cleveland Basin in the 14thUK onshore licensing round, expected to be announced later this year.”