Europa Oil in fresh Irish partner talks after potential investor pulls out
British exploration company Europa Oil and Gas is in talks with a number of potential development partners for its offshore Ireland assets despite an unnamed oil major, which was in pole position, walking away from the process.
Europa is largely dependent on its strong Irish asset base, which consists of around five billion barrels of oil and 2.5 trillion cubic feet of gas, in six offshore licences here and has been searching for development partners since 2018.
Early last year, the company agreed terms with the north-west Europe division of a major international oil and gas company and was awaiting a final investment decision.
That would have seen the unnamed major invest in Europa's flagship Irish asset, the Inishkea gas project. Lying adjacent to the Corrib field, Inishkea has been touted as a possible source of significantly reducing Ireland's reliance on gas imports.
However, the potential partner has informed Europa that, after a wider strategic review, its Irish licences are no longer under consideration as a farm-in deal.
That said, Europa's interim chief executive Simon Oddie has claimed Inishkea remains "a compelling drill target" and one which continues to attract "considerable interest from a number of potential partners".
"We remain optimistic that we will secure a partner for Inishkea, with whom we can drill what has the potential to be a transformational well," Mr Oddie said.
"Discussions with several other parties regarding the farm-out of the licences are continuing," he said.
He also said Inishkea has a one-in-three chance of drilling success.
