London-listed Reabold Resources (AIM:RBD)
has told investors that exploration and appraisal activities are progressing at the Parta Licence Area, onshore Romania.
Reabold holds a stake in the work programme via its 50.8% equity interest in Danube Petroleum which has a 100% working interest in the sole risk area and 50% of the Parta exploration licence.
The UK-based upstream oil company said that local contractors have commenced site preparations at the IMIC-2 drill site and that drilling remains on track for the third quarter of 2020.
The IMIC-2 well has a planned total depth of 2,200 metres with around 23 days to drill and evaluate and is expected to lead to a “highly commercial development” following testing.
Reabold noted that the testing of IMIC-1 is now expected to commence in June 2020 due to border closures and restrictions in Romania as a result of the Covid-19 pandemic.
Shares in Reabold Resources closed at 0.45p on Wednesday afternoon.
The group said it will further harness the potential of the Parta licence with a 3D seismic acquisition in July which is likely to generate “high quality appraisal and exploration targets.”
Danube is fully funded for testing and appraisal drilling activities whilst the 3D seismic acquisition will be funded by Parta Energy, a subsidiary of Tamaska Oil and Gas, for a 50% interest in the licence.
"We are delighted to announce that work is progressing across both exploration and appraisal activities in Romania along with our recently announced progress at West Newton in the UK,” said Sachin Oza, co-CEO of Reabold.
Reabold said on Wednesday that exploration efforts at the West Newton B site in PEDL 183, onshore UK, continue to progress amid the pandemic
Reabold noted in March that it currently has in excess of £6m in cash to fund the 2020 work programme which includes both West Newton B and the IMIC-2 drill site.
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