Deltic cedes $2.4mn full-year loss
Deltic Energy, an upstream explorer focused on the UK south North Sea, published its 2021 full year report on April 25, posting a £1.9mn ($2.4mn) loss for the 12-month period.
The deficit deepened from the £1.7mn loss reported by Deltic for 2020, though the company will point to the significant progress it has made in terms of exploration and development-stage prospects in its core market.
Last year saw the go ahead for the first exploration well at Shell-operated Pensacola in UK licence P2252, in which Deltic has 30% interest. Deltic estimates Pensacola contains 309bn ft3 in P50 prospective gas resources, nestled in the carbonate rocks in one of the North Sea's Zechstein reefs.
The chances of success at the well increased from 20% to 55% in geological terms, following a 3D site survey completed last October. Deltic said the consortium was "rapidly progressing" well planning, rig selection and the contract process, with drilling to start toward the end of the third quarter.
Aside from Pensacola, Deltic concluded a farm-out deal in 2021 with Capricorn Energy for five south North Sea gas licences: P2428, P2567, P2560, P2561 and P2562. P2428 contains the Selene prospect with an estimated 318bn ft3 in P50 prospective resources. Three of the other licences, P2560, P2561, P2562, are situated between two existing south North Sea gas producers: Breagh and Tolmount.
Deltic also has acreage in two central North Sea licences surrounding the Dewar and Syros prospects. CEO Graham Swindells said Deltic stood on the cusp of an "active and exciting chapter", given the forthcoming Pensacola campaign and its farm-out activity with Capricorn.
"The last year has been a period of considerable achievement and progress for our company," Swindells said. "The completion of a ground-breaking farm out transaction with Capricorn Energy (formerly Cairn Energy) covering five gas licences in the south North Sea was a major highlight."