TORONTO, ONTARIO--(Marketwired - Aug. 5, 2016) - North Sea Energy Inc. ("NSE" or the "Company") (TSX VENTURE:NUK) is pleased to announce that it has been advised by Premier Oil UK Limited ("Premier"), the Operator, that the 13/25a-1 well ("The Well") which was targeting the Bagpuss prospect on the Halibut Horst in the Outer Moray Firth has reached a total depth of 1,532 feet (TVDSS) in granite basement. The Well was drilled approximately 2 km from the 1981 Amoco well in the same structure.
The Well encountered 41 feet of hydrocarbon-bearing sands within a 68 feet hydrocarbon column. This is in line with pre-drill estimates. The sands have between 25%-33% porosity and initial indications are that the oil is heavy. The Well is now being plugged and abandoned.
Premier's Director of Exploration commented:
"The Bagpuss well has successfully proven a significant volume of oil in place. We will now work with our partners to carry out a full analysis of the hydrocarbons and reservoir encountered with a view to ascertaining whether commerciality can be established."
For further information on the Bagpuss and Blofeld Prospects in our Independent Prospective Resource Assessment, please refer to the press release dated June 27, 2013 posted on www.sedar.com.
NSE's costs relating to the Well have been carried by Maersk Oil UK. The Company is also funded for 50% of its costs on a Bagpuss subsequent well, should one be drilled, subject to a cap, through its farm-in agreement with Maersk Oil UK.
The joint venture partners in the Bagpuss prospect are Maersk Oil UK (25% Working Interest (WI)), NSE through its wholly owned subsidiary North Sea Energy (UK NO2) Limited ("NSE2") (15%WI), Premier (40.1%WI, Operator), EnCounter Oil (13.27%WI) and Groliffe (6.63%WI).
The Company, founded in February 2007, is a UK focused oil and gas exploration and appraisal company quoted on the TSX-V. NSE, through its wholly owned subsidiary NSE2, holds two high impact opportunities in the UK North Sea. These opportunities are the Bagpuss and Blofeld prospects located in blocks 13/24c and 13/25 of the UKCS.
Except for statements of historical fact, this news release contains certain "forward-looking information" within the meaning of applicable securities law. Forward-looking information is frequently characterized by words such as "plan", "forecast", "expect", "project", "intend", "believe", "anticipate", "estimate" and other similar words, or statements that certain events or conditions "may" or "will" occur. Although we believe that the expectations reflected in the forward-looking information are reasonable, there can be no assurance that such expectations will prove to be correct. We cannot guarantee future results, performance or achievements. Consequently, there is no representation that the actual results achieved will be the same, in whole or in part, as those set out in the forward-looking information. Forward-looking information is based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those anticipated in the forward-looking information.
In particular, there can be no certainty that analysis of the hydrocarbons and reservoir will result in commerciality being established. Factors which may cause commerciality not to be established include risks and uncertainties such as analysis concluding that the hydrocarbons are not of a commercially interesting grade, logistical challenges associated with extracting in the North Sea, oil prices, access to financing (for additional risks please refer to NSE's financial statements and management discussion and analysis published on SEDAR (www.sedar.com)).
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.