Sterling Resources Swap Offshore Assets

Sterling Resources Ltd. has agreed to Enquest’s 10 percent interest in its F-Quad and L-Quad licences in the Dutch North Sea, and Enquest will acquire Sterling’s 50 percent interest in the Cairngorm licence (Block 16/3d) in the UK North Sea.

Sterling now as operator hold a 35 percent interest in the shallow geological horizons of blocks F14, F16, F17a, F18 and L01b. The other partners are Petro Ventures Netherlands B.V. with a 25 percent interest and EBN with a 40 percent interest. The five blocks cover 1,550 square km located approximately 80 km offshore in a water depth of 45 metres. The shallow geological horizons of these blocks contain four oil discoveries, with several wells which tested oil at flow rates of up to 4,800 barrels per day with API gravities in excess of 30 degrees.

Earlier in 2012 Sterling drilled an appraisal well (F17-09) on Block F17a which confirmed, similar to what was observed in previous wells, an oil water contact (OWC) at approximately 2000 metres sub-sea and a 10 metre gross oil interval (6 metre net oil interval) within the Jurassic Schieland formation. Communication with previously drilled well F17-03 was also indicated with an updip potential resultant oil column of up to 120 meters.

”The Cairngorm licence, which was awarded in the UK 26th Offshore Licensing Round earlier this year, is not a core asset for Sterling,” stated Mike Azancot, Sterling’s President and CEO. “We are therefore pleased to enter into this mutually beneficial agreement with Enquest, as our F-Quad and L-Quad licences in the Dutch North Sea remain highly prospective and this transaction will further optimize Sterling’s portfolio of assets,” noted Mr. Azancot.

[mappress]
Offshore Nieuws Staff, May 21, 2012; Image : Sterling