Highlights: 

• Xodus Group completes exploration study identifying 12 new exploration prospects
• Phase III exploration inventory now totals 14 prospects
• Phase III 2U Prospective Resources1 total 3442 Bcf (un‐risked)
• Aggregated Phase I, Phase II & Phase III volumetrics across the Hartshead portfolio 
• 2C Contingent Resources of 3543 Bcf
• 2U Prospective Resources total 344 Bcf

Hartshead Resources today announced the following operational update with respect to the Company’s exploration portfolio as part of its Phase III field development.

An exploration study across Hartshead’s License P2607 has been completed by Xodus Group, which has generated a new prospect inventory totalling 14 prospects & leads with un‐risked 2U Prospective Resources of 344 Bcf. Twelve new prospects, in addition to the existing Garrod and Ayrton prospects, have been identified on the license area. 

A number of opportunities for further work have been identified by Xodus to potentially further de‐risk the prospects and reduce volumetric uncertainty including seismic reprocessing and geological and geophysical studies. The prospects will be economically evaluated and ranked prior to being  short listed for further work. Future work on short listed prospect will also involve initial well planning for the drilling of exploration wells in the final selected prospect or prospects. It may be that the McLaren prospect can be drilled as part of the Somerville development project in 2024 or 2025 and this option is being  evaluated. Any other prospects selected to be drilled would likely be drilled as vertical exploration wells, sometime following Phase I first gas which is scheduled for H2 2024. 

License P2607

The gas fields and prospects are divided into three phases for workstreams and operations:

PHASE I
Comprises the Viking Wx and Victoria Gas Fields. Both fields have historic production, multiple well penetrations, 3D seismic coverage and combined remaining resources of 217 Bcf of gas (audited 2C contingent resources). Hartshead has commenced field development planning work on these two fields and intends to define the development concept and gas export route by 2022, Take Final Investment Decision (FID) on the development in 2023 and achieve first gas in 2024.

PHASE II 
Comprises the Audrey NW and Tethys North Gas Fields.  Similarly, these field have production, well penetrations and 3D seismic coverage. Seismic imaging requires improvement by reprocessing of the data in order to move these fields into development planning.  Hartshead aims to complete seismic reprocessing by the end of 2021, prior to having the contingent resources in Phase II audited and moving these fields forward for development.

PHASE III 
Focuses on the exploration portfolio within the blocks. There are two, already mapped and drill ready prospects, adjacent to existing gas fields. However, a full review of the exploration potential of the blocks will be carried out and a complete exploration inventory assembled prior to any decision to drill.  It is intended that successful exploration drilling will lead to fields being rapidly tied in to the Phase I infrastructure.

KeyFacts Energy: Hartshead UK country profile