Lime Petroleum AS (“Lime”) is pleased to announce that it has on 14 April 2022, signed an agreement with MOL Norge AS (“MOL Norge”) to acquire the latter’s 40 per cent interests in licences PL820 S and PL 820 SB in the North Sea. The transfer of the interests is pending regulatory approval.

ThePL820 S and PL820 SB licences with the Iving and Evra discoveries, lie on the Utsira High area adjacent to the giant Vår Energy-operated Balder field, andjust north of PL818 Orkja and PL867 Gjegnalunden in which Lime has 30 per cent and 20 per cent interests respectively. MOL Norge is the current operator of the PL820 S and the PL820 SB licences. Lime will seek to assume operatorship of the licences, which is subject to regulatory approval. Lime has significant experience in the area from the exploration and appraisal drilling on the Rolvsnes discovery.

The Iving and Evra discoveries were made in 2019 and appraised in 2021. Hydrocarbons were encountered in five separate reservoir layers. The Norwegian Petroleum Directorate reports recoverable resources of 1.82 million Sm 3 of oil equivalent or some11.45 mmboe*. Lime’s analysis, which also includes the use of the Rex Virtual Drilling seismic technology, suggests upside potential in the recoverable volumes of the two discoveries. In addition, the licence area includes several sizable exploration prospects. The licences are located adjacent to existing infrastructure, which is now being upgraded to extend the facilities’ lifespan. A tie-in of the PL820 S/ PL 820 SB discoveries is in line with the Norwegian Petroleum Policy and Regulation, which encourages regional co-ordinated developments to maximise value creation. Alternatively, if larger volumes are encountered, a standalone field development based on conventional oil field technology may be considered.

Mr Lars Hübert, Chief Executive Officer of Lime, said, “Lime has been working as a partner company alongside operators on exploration drilling, field development projects and production. Over the past six to 12months, Lime has been upgrading its organisational competency and capacity as its portfolio has grown. The acquisition of interests in the PL820 S and PL 820SB licences offers a great opportunity for Lime to step into the operator role and thereby further boost our competitiveness for more opportunities and enhance our standing with licence partners and the authorities. The Iving and Evra discoveries lie in a prolific part of the North Sea, with world-class producing assets nearby, as well as other recent discoveries. Lime will work to mature the Iving and Evra discoveries as well as the other prospects within the licence, hopefully resulting in further drilling within the licence in the next 18 to 24months.”