Reabold Resources has agreed to acquire Humber Oil & Gas' 16.665% stake in West Newton licence PEDL183, as released on 26 May 2020. Reabold will pay GBÂ£ 1.4 million (US$ 1.7 million) cash consideration and issue 350 million new ordinary shares in the capital of Reabold, valued at 0.1p each. Reabold holds a 59.48% stake in Rathlin Energy UK Ltd which operates PEDL183. Rathlin plans to drill the West Newton B-1 (WNB-1) appraisal well on PEDL183 in Q2 2020, with permission in place to drill and conduct an EWT on a second well, West Newton B-2 (WNB-2). This will further appraise the Permian Kirkham Abbey Formation (Fm) and test the deeper Permian Cadeby Fm at its optimum location. Rathlin drilled West Newton A-2 appraisal (L46/05- 4 aka WNA-2) to 2,061m during Q2 2019 and reportedly encountered a 65m hydrocarbon column (but including minor liquids only) in the Kirkham Abbey Fm primary appraisal objective, with an oil saturated core from the Cadeby Fm. Flow testing during Q3 2019 was suspended after unexpectedly proving a 45m oil column below a 20m gas column in the Kirkham Abbey Fm. Rathlin has now re-designed the flow test to accommodate the oil section and is currently seeking Environmental Agency approval. The West Newton Field has been updated with in place resource estimates of 146.4 MMbo and 211.5 Bcfg (base case), and 283 MMbo & 265.9 Bcfg (upside case), as announced on 11 November 2019. West Newton 1 (L46/05- 3) was drilled in 2013, and encountered gas in the Kirkham Abbey Fm, with further testing conducted in 2014. Rathlin also drilled Crawberry Hill 1 (L46/08- 2) on the licence in 2013 which was P&A as an uncommercial discovery. PEDL183 covers 712 sq km over blocks SE93 and TA3a, 4, 13a, 14, 22, 23, 24, 32 & 33 to the N of the Humber estuary, and was awarded to Connaught Oil & Gas subsidiary Rathlin Energy on 1 July 2008 in the 13th Landward Licensing Round. In December 2018 Union Jack and Humber Oil & Gas both farmed in for 16.665% in exchange for each paying 25% of West Newton appraisal well costs, and Connaught sold 37.08% in Rathlin to Reabold Resources for GBÂ£ 3 million (US$ 3.9 million). In November 2019 Reabold Resources increased its ownership of Rathlin to 59.48%. PEDL183 licensees are Rathlin Energy Ltd (66.67% + Op), Union Jack Oil plc (16.665%) and Humber Oil & Gas Ltd (16.665%).
Reabold Resources has agreed to acquire Humber Oil & Gas' 16.665% stake in West Newton licence PEDL183, 