Advertisement

Petroceltic plugs and abandons Black Sea exploration well

Shares in AIM-listed oil and gas group Petroceltic International were under pressure on Friday morning with the company mulling an extension of a licence contract after having to abandon one of its exploration wells in the Black Sea.

Shares in AIM-listed oil and gas group Petroceltic International were under pressure on Friday morning with the company mulling an extension of a licence contract after having to abandon one of its exploration wells in the Black Sea.

The Kamchia-1 well offshore Bulgaria was drilled to a total depth of 2,887 feet but encountered 56 feet of carbonate sands with "sub-commercial gas saturations".

Advertisement - Article continues below

Chief Executive Brian O'Cathain said he was "disappointed" with the outcome after the well had to be plugged and abandoned.

The firm said: "The company is currently analysing the well data with a view to updating the regional geologic model and deciding whether to enter into the final two-year extension of the exploration licence later this year."

The drilling rig is now to relocate to complete a suspended discovery well for gas production and will then move to offshore Romania this summer to "test two high potential, proven exploration plays in Est Cobalcescu and Muridava"," O'Cathain said.

The stock was down 5.11% at 636p by 08:33 on Friday morning, extending the year-to-date fall to 12.4%.

Advertisement
Advertisement

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

House price crash: UK property prices are falling – so where next?
Property

House price crash: UK property prices are falling – so where next?

With UK property prices falling for the first time in eight years, are we about to see a house price crash? John Stepek looks at what’s behind the sli…
2 Jul 2020
The end of the bond bull market and the return of inflation
Inflation

The end of the bond bull market and the return of inflation

Central bank stimulus, surging post-lockdown demand and the end of the 40-year bond bull market. It all points to inflation, says John Stepek. Here’s …
30 Jun 2020
How can markets hit new record highs when the economy is in such a mess?
Stockmarkets

How can markets hit new record highs when the economy is in such a mess?

Despite the world being in the midst of a global pandemic, America's Nasdaq stock index just hit an all-time high. And it's not the only index on a bu…
3 Jul 2020