The agreement entitles San Leon to buy US$7.5mln of loan notes, carrying a 10% interest, and a 15% shareholding in the company.
Cairn will acquire between 60% and 70% of the licences and it will cover 100% of the agreed work programmes for each of the five licences. If the exploration assets advance to drilling, Cairn will cover 70% of the costs of the first well up to a maximum US$25mln.
It also told investors to expect comprehensive Merlin-1 well results and interpretation to be released imminently.
Pantheon Resources PLC (AIM:PANR, OTC:PTHRF, FRA:P3K)’s chief executive Jay Cheatham asserted that a better oil market has put the company in a stronger position to get funded for its plans for an active winter exploration programme in Alaska.
Talks continue over a potential farm-out transaction to sell a stake in the company’s Alaskan assets in return for sufficient funding for drilling and testing activity.
Touchstone Exploration Inc (AIM:TXP, TSX:TXP, OTC:PBEGF, FRA:PNW1) reported an increase in production from its base assets in Trinidad as it continued to work towards a four-well development programme in the fourth quarter of the year.
The CO2 reductions are in the region of 26-28% versus conventional liquid fuels, whereas savings offered by existing fuels are more typically in the 10-15% range.
It came the day after Tower landed a key and long-anticipated farm-out transaction which will enable the drilling of the NJOM-3 well in the Thali production sharing contract area in Cameroon.
Chief executive David Minchin described the well as encouraging – as it encountered helium shows in a total of five intervals of the Karoo formation including all three pre-drill targets.
At 12,143 barrels aggregate production was up 21% on the preceding six-month period.
United will immediately receive a EUR108,235 deposit and the deal is expected to close, subject to regulatory approval, later in 2021.
Plexus Holdings PLC (AIM:POS) has entered into a new cooperation agreement with Schlumberger subsidiary Cameron (NYSE:CAM) that envisages a return to renting jack-up exploration (adjustable) wellhead technologies.
Alongside Cameron (NYSE:CAM), the plan is to re-enter the market with ‘Exact’, an adjustable system, along with Centric and Fontus, a mudline suspension wellhead system and a configurable exploration wellhead system respectively.
Zephyr Energy PLC has completed the drilling of the State 16-2LN-CC well in the Paradox basin, Utah, reaching a target depth of 14,370 feet.
The well successfully encountered the primary Cane Creek reservoir target, along with secondary targets in overlying reservoirs. Some 4,555 ft of Cane Creek reservoir was penetrated including the lateral part of the well, Zephyr noted.