Agora Oil and Gas says that its fully owned subsidiary Agora Oil and Gas (UK) Limited has signed a farm-in agreement with Serica Energy (UK) Limited whereby Agora will participate in its first exploration well in the UK.

The farm-in agreement covers the East Irish Sea Blocks 113/26b and 113/27c, which contain the Conan and Doyle prospects. Agora will earn a 35% interest in these blocks. A well on the Conan prospect is planned to be drilled in the second quarter of 2010 to a depth of approximately 5000 feet. The agreement is subject to UK government approval.

Agora CEO Svein Ilebekk said, 'We are delighted to be taking part in our first exploration well only a few months after starting the company. We are particularly pleased to enter into a partnership with Serica, an experienced exploration company in the East Irish Sea'.

Paul Ellis, Chief Executive of Serica, commented, "I am very pleased that we have reached agreement with Agora to farm-out the Conan prospect. This is the second farm-out Serica has announced this year and it demonstrates the success of our strategy of securing large working interests in highly prospective acreage to facilitate promoted farm-outs. The farm-out of both Oates and Conan further de-risks our portfolio whilst allowing us to retain a significant interest and upside exposure.

The founders of Agora were also the founders of Revus, a successful North Sea independent E&P company, and we are delighted to welcome Agora as our partner in this exploration venture."

Tags: Agora Oil & Gas