By OGJ editors
HOUSTON, Nov. 17 -- Serica Energy PLC and BG Group PLC subsidiary BG International Ltd. has agreed to exchange interests in adjacent exploration licenses in the UK Central North Sea.
Serica is operator and 50% interest owner of Block 23/16f, on which it is currently drilling the Columbus prospect. BG has an equity holding in part of the adjacent Block 23/21 (Part Block 23/21) into which Serica believes the Columbus prospect may extend.
Serica and BG have entered into a cross-assignment agreement that provides, in certain specific circumstances, for Serica to exchange with BG a 25% interest in Block 23/16f for a 25% interest in Part Block 23/21, excluding Lomond field. The agreement also allows for BG to participate in the costs of the Columbus well—23/16f-11. The assignments of interest will be subject to regulatory and partner approvals.
Chief Executive Paul Ellis said, "If Columbus is successful, the prospective common interests of Serica and BG in Blocks 23/16f and 23/21 will enable appraisal wells to be drilled and the development of any discovery to be commenced in the most efficient manner."
