Member Article

Enegi raise £2.018m and sign Newfoundland drilling deal

Independent oil and gas firm, Enegi has entered into a Farm-In agreement with Newfoundland’s Black Spruce Exploration (BSE).

The deal means BSE will begin a multi-well drilling programme on Enegi’s Newfoundland assets.

BSE will drill four new wells across Enegi’s oil fields, including two exploration wells and two appraisal wells.

Manchester-based Enegi have also raised £2.018m through a placing of 24,882,944 shares.

Alan Minty, CEO of Enegi, commented: “We are delighted to have entered into this Farm-In with Black Spruce. This agreement, as well as Black Spruce’s other recent transactions, is hugely significant for the development of our Newfoundland assets and for the region as a whole.

“We look forward to the multi-well drilling campaign, which is expected to kick off this year with the drilling of PaP#4, and to the significant increase in value such activity will add to our assets”.

David Murray, CEO of BSE, commented: “Our transaction with Enegi is a valuable addition to the land consortium that BSE has sought to assemble to become the leading player in Western Newfoundland.

“We believe that these assets will form the core of our portfolio in this region and look forward to working with Enegi and all our stakeholders to not only develop these assets, but to build Western Newfoundland into the oil and gas province that it has the potential to be.”

This was posted in Bdaily's Members' News section by Tom Keighley .