In the light of the current and forecast global financial situation, Island has completed a comprehensive internal review of its extensive portfolio of Irish and international exploration and production assets and has analysed its potential opportunities for short term, cash-generating, business growth.

The Company’s objective remains the same: to grow the value of Island by intelligent corporate action and utilising Island’s proven operator status to enter new projects and successfully monetise the current portfolio.

The main aims of the strategy will be to:

seek asset sales to finance business growth: Island has a proven track record in this regard, as evidenced by its successful Amstel transaction pursue oil and gas field rehabilitation projects capable of generating initial revenues within 12 to 18 months from project start-up focus on low entry cost, high reward onshore exploration licences in strategically located areas where there are good short-term opportunities to attract major international players to fund initial exploration costs. Reorganisation of Irish Assets Base

Island has completed its objective of establishing an integrated ‘Irish Gas’ portfolio of exploration, near development, production and infrastructure assets. This portfolio covers all aspects of the upstream spectrum in Ireland:

Production: cash revenues from the Seven Heads gas field Satellite near-developments: the development of satellite gas fields close to the Celtic Sea infrastructure Gas storage: as security of supply develops as a key theme in the European gas market, the Celtic Sea gas fields have been identified by major players as having potential for either an Irish or western European gas storage facility Potentially very large exploration projects: Atlantic Margin exploration prospects, based around a World Class Triassic gas reservoir that could potentially address future security of gas supply issues for Ireland.

This portfolio is attracting interest from industry peers with a mandate to establish secure, politically stable, core areas with potential access to future gas resources. Island is seeking to work with industry players interested in taking an equity stake in this integrated gas business in order to progress additional international onshore oil and gas field rehabilitation projects that are being offered to Island on the basis of its proven track record as an operator.

Tags: Island Oil & Gas