Exploration company Petroceltic has given an update on its progress in Ireland. It said that all the partners on the offshore Donegal licence have agreed to use the Petrolia Rig to drill the Inishbeg Prospect this summer.
Petroceltic has a 16.25% interest in the licence and its partners include Lundin Petroleum, Island Oil and Gas, Ramco and Sunningdale. It added that the well budgets and the well design have been agreed.
The company also said today that its revenue from the Kinsale Gas Royalty increased from $430,000 in 2004 to over $900,000 last year - the increase mainly due to higher gas prices.
'The company believes that the Inishbeg prospect is geologically analogous to the Corrib gas field,' commented John Craven, Petroceltic's CEO.
'The significant increase in our royalty revenue highlights the commercial attractiveness of producing gas offshore Ireland,' he added.
'With this first drilling contract now in place and the tendering process for the Algerian drilling programme well advanced, 2006 is looking to be a very exciting year of drilling activity for Petroceltic,' he said in today's statement.
