AIM listed oil and gas exploration company Petroceltic has agreed to buy a 40% interest in two permits to explore and produce oil in two blocks in Italy, both onshore and offshore.
In the offshore block, BRG 490, an oil discovery was made in the early 90s. Earlier this year, onshore and less than 2km from BRG 490, drilling at Miglianico has confirmed that the largest oil discovery in Italy in the last 20 years.
Petroceltic's evaluation of the geological, seismic and drilling data strongly indicates that BRG 490 shares the same geological, structural and reservoir characteristics as the Miglianico discovery, which is now in production.
The block is thought to have the potential to contain up to 300 million barrels of recoverable oil.
BRG 490 is on the Adriatic coast and the onshore block, Civitaquana is located close by in Italy's Abbruzzi province.
Petroceltic has also agreed to acquire an initial 15% interest from Italian oil company Rigo Oil, with an option to increase its interest to 40% up to the time that a decision is made to drill.
