Antrim announces FPSO agreement for Fyne Field, UK North Sea
Tuesday, Nov 13, 2012
CALGARY, ALBERTA and LONDON, UNITED KINGDOM--(Marketwire - Nov. 13, 2012) - Antrim Energy Inc. (TSX:AEN) (AIM:AEY) ("Antrim" or the "Company")
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Antrim today announced a Heads of Terms agreement has been signed with Hummingbird Production Limited, a subsidiary of Teekay Corporation, for an option to lease the "Hummingbird Spirit" Floating Production, Storage and Offloading vessel ("FPSO") for the development of the Fyne Field in UKCS Central North Sea Block 21/28a (Antrim working interest 100%).
Based on the Heads of Terms, fully termed agreements will be developed, which will be subject to consent to a Field Development Plan ("FDP") by the UK Department of Energy and Climate Change ("DECC"). Antrim expects to submit the Fyne FDP to DECC for approval in January, 2013. First oil is anticipated in the fourth quarter of 2014, contingent on the timing of the redeployment of the Hummingbird Spirit from its current location.
A reserves estimate for the Fyne Field was recently updated by McDaniel and Associates Consultants Ltd. ("McDaniel"), incorporating the results of well 21/28a-11 drilled earlier this year in the East Fyne area (as previously announced on February 6, 2012). Proved plus Probable reserves in the Fyne Field are estimated by McDaniel as of September 30, 2012 to be 11.7 million barrels of oil. Antrim's working interest in Fyne is 100%, contingent on execution of final completion documents for the withdrawal of former partners Premier Oil UK Limited and First Oil Expro Ltd.
Stephen Greer, Antrim President and CEO, commented, "This agreement for the Hummingbird Spirit FPSO is a major achievement. Development of the Fyne area in the UK Central North Sea has been hindered for some time due to the lack of commercial infrastructure and export route. The Hummingbird Spirit resolves that issue, not only for the Fyne Field, but potentially for other Antrim assets in the area and nearby stranded assets of other operators. Antrim looks forward to successfully leading the development of the area."
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 the development of and production from the Fyne oil field. Forward-looking statements include statements regarding the intent, belief and current expectations of Antrim Energy Inc. When used in this announcement, the words "expect", "anticipate", "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 development of and production from the Fyne oil field. 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.