Approval of conversion of SOSINA’s Avalon Licence Option to Frontier Exploration Licence 2/19

21 January 2019

The conversion is with effect from 1 February, 2019

SOSINA is pleased to provide the following update concerning our Licensing Option (“LO”) 16/27, operated by TOTAL E&P Ireland B.V. (“TOTAL”) (50%) on behalf of its partners, Providence Resources P.l.c. (40%) and SOSINA Exploration Limited (10%), collectively referred to as the “JV Partners”. LO 16/27 is located in the southern Porcupine Basin offshore Ireland and contains the undrilled Paleocene “Avalon” exploration prospect. 

The JV Partners recently applied to convert LO 16/27 to a Frontier Exploration Licence (“FEL”) and are pleased to confirm that the Minister of State at the Department of Communications, Climate Action and Environment has now confirmed approval for the JV partners to convert LO 16/27 to FEL 2/19, with effect from 1 February, 2019. 

Pursuant to the terms of a Farm-out Agreement agreed between the JV partners in June 2017, in the event that a decision is taken to drill an exploration well on Avalon, TOTAL will pay 60% of the drilling costs, subject to a gross well cap of USD 42 million.