Petroceltic International plc ("Petroceltic" or the "Company"), the independent oil and gas exploration development and production company focused on the Middle East North Africa ("MENA"), the Mediterranean and the Black Sea regions is pleased to announce that a joint venture comprising Petroceltic and Edison International Spa ("Edison") was the successful bidder for the North Port Fouad Block, in the Egyptian Natural Gas Holding Company 2013 International Bid Round.
North Port Fouad (Block 7), is located offshore the Nile Delta and lies to the north of, and immediately adjacent to, the North Thekah Block, which was awarded to a Petroceltic/ Edison joint venture in 2013. The combined area of both licences is in excess of 7,000 square kilometres.
There have been no wells drilled on the North Port Fouad block to date but regional and seismic evidence indicates that the proven Nile Delta Oligocene and Levantine Basin Miocene plays are likely to be present. Major hydrocarbon discoveries have been reported in both plays in recent years. The Company has a 50 per cent non-operated interest in North Port Fouad, which has an initial 3 year term and is extendable up to a maximum duration of 8 years. The firm work programme commitment in the initial 3 year term comprises the acquisition of 1,000 square kilometres of 3D seismic data. There is no well obligation in the first licence period.
It is expected that the new licence will be formally awarded in early 2015 following ratification andfinalisation of the Production Sharing Contract.
Brian O'Cathain, Petroceltic's Chief Executive, commented:
"We are delighted to have been awarded the North Port Fouad Block which, together with last year's North Thekah award, gives Petroceltic access to a substantial acreage position in the outer Nile Delta and Levantine Basin plays and significantly enhances our Egyptian exploration portfolio. These blocks are located in an area of the Mediterranean which has yielded several world class Oligocene and Miocene discoveries in recent years. Furthermore, the award of the North Port Fouad block continues with our strategy of opportunistic organic growth in territories where we have existing operations, knowledge and experience.