Finavera Limited has been awarded two exclusive licenses to explore for natural gas in the north west of the Republic of Ireland. The licenses were awarded by Mr Noel Dempsey, T.D., Minister for Communications, Marine & Natural Resources. Finavera was awarded a neighbouring license in Northern Ireland last year.
Natural gas was first discovered in this cross-border geological basin more than forty years ago. Since then, attempts made by a number of different companies to extract the gas resource were deemed uneconomic. However, the rising price of natural gas and significant advances in drilling technology in recent years means this gas-charged region is now a viable economic target.
Finavera acquired license options for this area in early 2004 and has been working with Schlumberger Oilfield Services to assess the in-situ resource potential. The results of these extensive technical studies (including advanced seismic imaging analysis and detailed reservoir engineering) have been highly encouraging to date and this positive analysis has resulted in Finavera exercising the license options.
Finavera plans to carry out further high-resolution seismic surveying in 2006. Once this new data is analyzed and targets are selected, Finavera intends to commence drilling appraisal wells.
Finavera CEO, Tom Davitt, commented "This natural gas resource, if developed, will be of international significance. We are proud of the fact that an Irish company has the opportunity to develop this asset and make a positive contribution to the economies and resource base of the Republic of Ireland and Northern Ireland."
He added "The Republic has a limited indigenous supply of natural gas. We import 85% of our natural gas requirements and the North has no indigenous natural gas supply. Finavera believes that, in time, our efforts will enable us to realise the full potential of this on-shore natural gas resource."
He concluded "We would like to thank the Minister, the Petroleum Affairs Division at the Department of Communications, Marine & Natural Resources and the Department of Enterprise Trade and Investment in Northern Ireland for their efficient and rigorous processing of the applications. We are also pleased to announce the appointment of Goodbody Corporate Finance as adviser to Finavera for our next stage of growth."
Finavera was incorporated in September 2003 with the objective of becoming a leading owner and developer of assets in the natural gas, wind energy and wave energy sectors. In early 2005, Finavera separated is assets into two distinct companies, Finavera Limited and Finavera Renewables in order to exclusively focus on the natural gas and renewable energy sectors respectively. Finavera Renewables is dedicated to the development of renewable energy resources and technologies in Europe and North America.