New World Oil and Gas receives 25% interest in Danica Resources project, Denmark

New World Oil and Gas has announced that the Danish Energy Authority has approved its 25% working interest in Licence 1/08 of the Danica Resources Project in Denmark, to its wholly-owned subsidiary New World Resources.

The licence includes 6,420km² in the Western Baltic region of the South Permian Basin in southern Denmark.

The authority has assigned the working interest to the company in line with the farm-out agreement, which was announced on 17 April 2012.

As part of the agreement, the company will complete Phase 1 of a 2D seismic acquisition programme, which includes 166.44km², as well as additional 38.5km² 2D seismic acquisition programme on two re-confirmed leads.

The Als prospect of Phase 1 includes an estimated P50 un-risked prospective recoverable resources of 1.4 trillion cubic feet and 97 million barrels of oil, which is worth about $2.4bn, according to a report released on 22 January 2013.

The company has also confirmed four leads in Zechstein on Falster and Lolland Islands based on new seismic data, which spans about 38.5km.

New World Oil and Gas CEO, William Kelleher, said that the company has achieved 25% working interest in both of its Danish projects.

"In tandem with increasing our interests in these three exciting licences, we are delivering on our strategy to systematically identify, delineate and de-risk multiple prospects to the point of drilling," Kelleher added.

"At our Danica Resources project, we already have the drill ready Als prospect, which has estimated P50 prospective resources of 97 million barrels of oil and 1.401 trillion cubic feet of gas on a 100% working interest basis, and this is just one of 29 leads / prospects we have identified."

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Image: Danish Energy Authority has assigned 25% working interest in Licence 1/08 to New World Resources. Photo: Courtesy of Chrish9309.