Negotiations are advanced with respect to contracting a rig for the Verbier appraisal well programme, which plans for one well and an option for a sidetrack well, to be drilled in summer 2018.
The company's share of the work programme will be funded from its existing cash reserves. Further to the successful fundraising completed in November 2017, cash balances are estimated to be approximately £25 million as of 31 December 2017. Capex for 2018 is estimated to be £9 million to £11 million for the company.
Andrew Benitz, CEO of Jersey Oil & Gas, commented:
"We are pleased with the progress being made on the post-discovery technical work being undertaken by the P.2170 joint venture partnership and that plans to appraise the Verbier oil discovery have been confirmed. As noted previously, initial Operator estimates of gross recoverable resources associated with the Verbier discovery are between 25 and 130 million barrels of oil equivalent (mmboe) with an estimated mean of 69mmboe.
"We look forward to updating our shareholders in due course as drilling plans and further exploration activity progresses."
