LONDON, June 4 (Reuters) - Oil explorer Cairn Energy has dropped plans to drill near Spanish holiday island Ibiza, the company said, as it wants to focus on developing potentially huge reserves offshore Senegal.
Cairn was set to carry out seismic testing on four offshore blocks in the Gulf of Valencia but has now decided its money will be better spent in Senegal where it said its oilfields could hold more than a billion barrels of oil.
"Cairn has informed the Spanish Ministry of Industry, Tourism and Commerce that it intends to withdraw from four exploration permits in the Gulf of Valencia," a spokesman said.
The company will maintain other projects in Spain, including applications for new licences offshore the Gulf of Lion and the Bay of Biscay, he added.
Cairn, which currently has no revenue as it focuses purely on exploration, has earmarked nearly three-quarters of its $185 million 2015 exploration budget for its West African projects, including three new wells offshore Senegal.
(Reporting by Karolin Schaps, editing by William Hardy)
Copyright 2017 Thomson Reuters. Click for Restrictions.
WHAT DO YOU THINK?
Click on the button below to add a comment.
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
Most Popular Articles
From the Career Center
Jobs that may interest you