Gas Plus farms into Sterling's Romanian acreage

Gas Plus International will take a 15% working interest in the Midia and Pelican blocks off Romania, including the Doina gas discovery on Midia, under a farmin agreement signed with Sterling Resources.

Uchenna Izundu
International Editor

LONDON, Oct. 23 -- Gas Plus International BV, a wholly owned subsidiary of Gas Plus SPA, Milan, will take a 15% working interest in the Midia and Pelican blocks off Romania, including the Doina gas discovery on Midia, under a farmin agreement signed with Sterling Resources Ltd.

Gas Plus also will contribute towards a promoted share of the Midia SE well to secure its interest.

The Midia SE prospect is an undrilled structure with an oil potential of more than 750 million bbl of stock tank OOIP. Sterling plans to use the GSP Prometeu jack up to drill the nearby Doina Sister prospect, which is 16 km south and west of the existing Doina gas discovery. Pending final contract negotiations, the rig is expected to be available in December-March 2008 to drill one firm well and one option well. If Sterling finds hydrocarbons, it will evaluate jointly developing Doina Sister with Doina.

The deal needs the approval of Romania's National Agency for Mineral Resources and will take effect in 2008 after the new concession agreement recently approved by the agency is ratified.

Contact Uchenna Izundu at uchennai@pennwell.com.

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