LONDON, UK, March 15 /CNW/ - Serica Energy plc (AIM and TSX Venture: SQZ)
is pleased to announce the farm-out of a percentage of the Company's interest
in the Biliton PSC, Indonesia, whilst retaining the role of Operator.
In line with its strategy to spread exploration risk and manage costs,
Serica has signed an agreement with Nations Petroleum, a subsidiary of the
privately owned oil exploration and production company Nations Energy Company
Ltd., to farm-out a 45% interest in the Biliton PSC, subject to required
regulatory approval. In return Nations Petroleum will bear the majority of the
costs of the two well drilling programme scheduled to commence in Q2 2007.
Serica will remain as operator and retain a 45% interest in the Biliton
PSC. A number of potentially significant prospects have been identified within
the PSC, which is located in a virtually unexplored basin, and the Seadrill-5
drilling rig is contracted from Q2 2007 to drill the two exploration wells
Paul Ellis, Chief Executive, said:
"We are extremely pleased to announce the farm-out of a 45% interest in
the Biliton PSC, whilst retaining operatorship and a 45% interest for Serica.
In line with the strategy announced at the time of our UK fundraising in
December 2005, this allows Serica and its shareholders significant exposure to
high impact exploration drilling whilst managing the cost to the Company."
Serica Energy plc is an international oil and gas exploration company
with operations in the UK North Sea, Norway, Ireland, Spain, Indonesia and
Vietnam. The Company's ordinary shares are listed in London on AIM and on the
Canadian TSX Venture Exchange under the symbol "SQZ". The 2005 Annual Report
and Accounts can be obtained from the Company's web-site www.serica-energy.com
and at www.sedar.com.
Forward Looking Statements
This disclosure contains certain forward looking statements that involve
substantial known and unknown risks and uncertainties, some of which are
beyond Serica Energy plc's control, including: the impact of general economic
conditions where Serica Energy plc operates, industry conditions, changes in
laws and regulations including the adoption of new environmental laws and
regulations and changes in how they are interpreted and enforced, increased
competition, the lack of availability of qualified personnel or management,
fluctuations in foreign exchange or interest rates, stock market volatility
and market valuations of companies with respect to announced transactions and
the final valuations thereof, and obtaining required approvals of regulatory
authorities. Serica Energy plc's actual results, performance or achievement
could differ materially from those expressed in, or implied by, these forward
looking statements and, accordingly, no assurances can be given that any of
the events anticipated by the forward looking statements will transpire or
occur, or if any of them do so, what benefits, including the amount of
proceeds, that Serica Energy plc will derive there from.
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
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For further information:
For further information: Enquiries: Serica Energy plc: Paul Ellis, Chief
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Hearne, Finance Director, firstname.lastname@example.org, +44 (0)20 7487 7300;
Pelham Public Relations -UK : James Henderson, email@example.com,
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Relations - Canada: Jan Moir, email@example.com, (416) 868-1079; Heather Colpitts,
firstname.lastname@example.org, (416) 868-1079; JPMorgan Cazenove, Steve Baldwin, +44 (0)
207 588 2828