AIM-listed Baron Oil has announced that the conditions precedent to the Option Agreement entered into with Corfe Energy to be assigned part of its rights to farm in to an interest held by Corallian Energy in UK North Sea Licence P2235 (UKCS Block 11/24b), which contains the Wick Prospect, have now been satisfied and Baron has committed to farm in to the licence. Baron will now enter into a fully-termed farmout agreement under which, subject to necessary regulatory consents, it will pay 20% of the costs of the Wick well (currently estimated at Â£840,000), plus Â£6,500 in back costs, to earn a 15% interest in the licence. Bill Colvin, Chairman of Baron commented: 'As noted when we announced the Option Agreement, the Wick Prospect offers a rare opportunity to drill a low cost and relatively low-risk well in the near term. Our share in the Prospect has significant potential at current oil prices for Baron shareholders and it provides the possibility of an early, low cost, development opportunity.Â  Success in this well will provide shareholders with a meaningful uplift in the asset value of the Company.' Original article link Source: Baron Oil 
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