Rex International Holding Limited, a technology-driven oil
company, is pleased to announce that the operator, Equinor Energy AS (“Equinor”), has started drilling an exploration well in the Norwegian Sea licences PL263D/E on 22 September 2020. Rex’s 90
per cent subsidiary Lime Petroleum AS (“LPA”) has 20 per cent interests in the licences. The well targets the Apollonia prospect, with a reservoir located in the traditional Jurassic section. LPA has applied its rigorous evaluation process combining conventional geological and geophysical (G&G) work flow with the Group’s proprietary Rex Virtual Drilling (“RVD”) technology on this prospect.
Mr Dan Broström, Executive Chairman of Rex International Holding, said, “We are pushing ahead with our ‘just-in-time’ farm-in strategy in Norway, coupled with the use of RVD to de-risk our assets; a business model attested by LPA’s farm-in and drilling participation in the Rolvsnes discovery, and subsequent divestment of it with related assets for US$45 million in 2019. Funds of US$550,000 raised from the recent options agreement signed with Trace Atlantic will help defray some of LPA’s participating drilling costs in this well. I am pleased that the Rex Group is working with Equinor, a leading operator in the Norwegian offshore industry.”
The 263D/E licences are located in the Halten Terrace area and are well placed between the Asgard and Midgard fields. Equinor has obtained permission from Norway’s Petroleum Safety Authority to
use the West Hercules semi-submersible rig for the drilling. Should there be success in the main wellbore, a side-track appraisal well may be drilled.
LPA’s farm-in to the two licences, effective from 1 January 2020 (a standard practice for licence transactions in Norway), was completed on 31 August 2020.
