In related activity, Avery sold a portion of its interest in South Larne for cash proceeds of $262,000. These funds have been added to Avery's existing cash balance further strengthening the balance sheet. Avery adjusted its interest in the South Larne property in order to balance the capital cost exposure in relation to its other international oil and gas exploration and development projects. Moving forward, Avery retains a 33.3 percent interest in the property in contrast to the 57.14 percent interest previously held by the company.
"We were able to achieve three desirable outcomes at South Larne," commented Avery President and CEO, David Little. "We improved our financial position while also 'right-sizing' the project and moving it forward with positive developments that could pay off for our shareholders."
Covering 86,458 acres (350 square kilometers), the South Larne license is situated in the onshore Ulster Basin on the eastern Northern Ireland coast along the North Channel. The Sherwood Sandstone has already established reserves of seven Tcf of natural gas and 200 mmbbl of oil reserves making it the primary reservoir in the nearby east Irish Sea basin.
Most Popular Articles