Independent Oil & Gas PLC LOI signed with Key Contractor ODE (8810T)
October 18 2017 - 2:00AM
UK Regulatory
TIDMIOG
RNS Number : 8810T
Independent Oil & Gas PLC
18 October 2017
18 October 2017
Independent Oil and Gas plc
LOI signed with Key Contractor ODE
Independent Oil and Gas plc ("IOG" or the "Company"), the
development and production focused Oil and Gas Company, is pleased
to announce that it has signed a Letter of Intent ("LOI") with
Offshore Design Engineering Limited ("ODE") to perform several key
contractor roles for its Blythe Hub and Vulcan Satellites Hub
development ("the Project"), starting with technical and
operational support ahead of Final Investment Decision ("FID").
Highlights:
-- ODE to provide extensive technical and operational support to
IOG in both pre- and post-FID stages to deliver the Project into
production
-- ODE to be the Operations & Maintenance service provider
-- Pre-FID costs to be fully deferred and pre-First Gas costs to
be 50% deferred until first gas, thereby reducing IOG's funding
requirements
-- LOI further strengthens IOG commercial model with ODE as a
key contractor incentivised to deliver first-rate performance
ODE will be responsible for the operational management of all
IOG's assets and for the Thames Pipeline and network of in-field
pipelines, with IOG continuing to be 100% Licence Owner and
Operator for all assets in the Project. It is also intended that
ODE will be the Operations and Maintenance contractor upon first
gas, hosting IOG's onshore operational base at its facilities in
Great Yarmouth, close to the Bacton terminal. The pre-FID technical
and operational support work is due to start immediately while
contract terms are being finalised.
Mark Routh, CEO and Interim Chairman of IOG commented:
"We are very pleased to be working with ODE who will be a
trusted partner in IOG's Blythe Hub and Vulcans Satellites Hub
development. ODE has a wealth of relevant experience and manages
several fields for other Operators in the Southern Gas Basin of the
UK North Sea, so we will benefit from synergies with their existing
operations. In line with our commercial model, the cost deferrals
also tangibly improve IOG's funding position both before and after
FID.
This LOI reflects the team's continued strong progress with the
IOG gas portfolio. We look forward to finalising the contract with
ODE and agreeing similar terms with other key contractors to
continue delivering our gas hub strategy."
ENDS-
The information communicated in this announcement is inside
information for the purposes of Article 7 of Regulation
596/2014.
Enquiries:
Independent Oil and Gas plc
Mark Routh (CEO) +44 (0) 20 3879
James Chance (CFO) 0510
finnCap Ltd
Christopher Raggett / Anthony
Adams +44 (0) 20 7220
(Corporate Finance) 0500
Camarco
Georgia Edmonds / Tom Huddart +44 (0) 20 3757
/ Monique Perks 4980
Notes
About Independent Oil and Gas:
IOG owns substantial low risk, high value gas resources in the
UK Southern North Sea. The Company is targeting a 2P production
rate in excess of 200 MMcfd (c. 35,000 Boe/d) from its substantial
current portfolio via an efficient gas hub strategy. Alongside this
it continues to pursue value accretive acquisitions, to generate
significant shareholder returns. All of IOG's licences are owned
100% and operated by IOG.
Further information can be found on
www.independentoilandgas.com
About ODE
ODE (Offshore Design Engineering Limited) is an international
technical service provider to the oil, gas and renewable energy
markets. ODE provides comprehensive consulting, engineering, asset
management, procurement, project management operations support and
late life operations services to the oil, gas and renewable energy
sectors.
ODE's head office is in Wimbledon, London, from where it
undertakes consultancy and engineering for oil and gas projects,
including decommissioning. Wimbledon also takes the lead on marine
renewables and continues to build on the company's 16-year record
in the sector. ODE also has a significant presence in Great
Yarmouth from where it provides brownfield engineering and asset
management services. Internationally, ODE has engineering and
project management offices in Egypt focusing on both off and
onshore oil and gas, and representation in the United States and
Taiwan for marine renewables.
Further information can be found on www.ode-ltd.co.uk
This information is provided by RNS
The company news service from the London Stock Exchange
END
LOILFFFIIDLDLID
(END) Dow Jones Newswires
October 18, 2017 02:00 ET (06:00 GMT)
Iog (LSE:IOG)
Historical Stock Chart
From Apr 2024 to May 2024
Iog (LSE:IOG)
Historical Stock Chart
From May 2023 to May 2024