TIDMIOG
RNS Number : 7577Y
IOG PLC
17 May 2021
17 May 2021
IOG plc
Phase 1 Duty Holder and Operations Contract
awarded to ODE Asset Management
IOG plc ("IOG", or "the Company"), (AIM: IOG.L), the UK gas
company targeting growth and high returns via an infrastructure-led
hub strategy, is pleased to announce that, as operator of its joint
venture (JV) with CalEnergy Resources (UK) Limited (CER), it has
awarded the Phase 1 Duty Holder contract for Installation and
Pipeline Operator, as well as facilities operations and maintenance
(O&M), to ODE Asset Management (ODE AM).
Working closely with IOG's in-house operations team, ODE AM will
be responsible for delivering safe, efficient and cost-effective
production operations from the JV's Phase 1 offshore infrastructure
in the UK Southern North Sea (SNS), including the Blythe and
Southwark platforms, the Thames Pipeline and the associated subsea
connector lines.
ODE AM will also provide O&M and integrated services for
Phase 1, including the onshore control room at the Bacton Gas
Terminal, travel, training and crew for offshore activities,
emergency response, warehousing and quayside support, and all
associated regulatory interface and compliance. The contract has
mechanisms to incentivise ODE AM to maximise operating efficiencies
and an appropriate risk-reward formula for performance against
agreed criteria.
ODE AM has an extensive SNS track record, including as Duty
Holder for the Tolmount gas platform on behalf of Humber Gathering
System Limited (the Kellas Midstream and Dana Petroleum JV) and
Installation and Pipeline Operator for the producing Babbage gas
field on behalf of NEO Energy.
This award further cements a relationship that started in early
2018 with ODE AM's appointment as Pipeline Operator for the Thames
Pipeline (PL370), since when it has provided pre-operations
services on a reimbursable basis. The wider ODE Group is also
undertaking engineering, procurement, construction and installation
activities for the ongoing recommissioning of the JV's onshore
Thames Reception Facilities at Bacton.
Andrew Hockey, CEO of IOG, commented:
"We are pleased to award this contract to ODE AM, who have a
well-established Duty Holder and O&M track record in Southern
North Sea gas projects including Babbage and Tolmount. Their focus
on safe, efficient and cost-effective operations will be integral
to our low opex and low carbon intensity production model. We look
forward to continuing our collaboration with ODE AM as we ramp up
pre-operations and commissioning activities ahead of First Gas in
late Q3 this year."
Sandy Reid, Managing Director of ODE AM, said:
"We're delighted to continue our support to IOG on their
prestigious Core Project and be appointed Duty Holder for the
Blythe and Southwark offshore facilities. This contract fully
aligns and incentivises ODE AM to support IOG in what both parties
see as an operating partnership to deliver industry leading lifting
cost and low carbon performance. We're proud that IOG are placing
their trust in the wider capabilities of the ODE Group to safely
deliver both the Bacton EPCI and the offshore Duty Holder
scopes."
This announcement contains inside information for the purposes
of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it
forms part of UK domestic law by virtue of the European Union
(Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with
the company's obligations under Article 17 of MAR.
Enquiries:
IOG plc
Andrew Hockey (CEO)
Rupert Newall (CFO)
James Chance (Head of Corporate Finance & IR) +44 (0) 20 7036 1400
finnCap Ltd
Christopher Raggett
Simon Hicks +44 (0) 20 7220 0500
Peel Hunt LLP
Richard Crichton
David McKeown +44 (0) 20 7418 8900
ODE AM Ltd
Sandy Reid (Managing Director) +44 (0) 1493 845100
About IOG:
IOG owns and operates a 50% stake in substantial low risk, high
value gas reserves in the UK Southern North Sea. The Company's Core
Project targets a gross 2P peak production rate of 140 MMcfe/d (c.
24,000 Boe/d) from gross 2P gas reserves of 302 Bcfe(1) and
management estimated 2C gas Contingent Resources of 132 Bcfe, via
an efficient hub strategy based on co-owned infrastructure. In
addition to its 2P reserves at Blythe, Elgood, Southwark,
Nailsworth and Elland and 2C contingent resources at Goddard, it
has management estimated gross 2C contingent resources of 23 Bcfe
at Abbeydale and unrisked mid-case prospective resources of 66 Bcfe
at Thornbridge, 31 Bcfe at Southsea, 31 Bcfe at Kelham, 27 Bcfe and
16 Bcfe in the two Goddard flank structures, and 21 Bcfe at Harvey.
In December 2020 IOG also accepted a 50% operated stake in Licence
P2589, containing the Panther and Grafton gas discoveries with
management estimated gross mid-case contingent resources of 46 Bcfe
and 35 Bcfe respectively. In addition IOG continues to pursue value
accretive acquisitions to help generate significant shareholder
returns.
(1) ERC Equipoise Competent Persons Report: October 2017,
adjusted by Management to account for updated project timing and
compression
About ODE Asset Management:
ODE AM specialises in operations and maintenance, integrity
management and full Duty Holder responsibilities for both
Installation and Pipeline Operatorship. It is a subsidiary of ODE
Group, an international technical service provider to the oil, gas
and renewable energy markets, which in turn is part of the globally
renowned DORIS Group. With over 50 years' experience, ODE Group
provides comprehensive consulting, engineering, procurement,
project management and operations support services to the oil, gas
and renewable energy sectors.
ODE Group operations include headquarters in London, with other
UK based offices in Aberdeen and Great Yarmouth. International
operations incorporate subsidiary / branch offices and dependencies
in Taipei, Tokyo, Hanoi, Seoul, Paris, Hamburg, Denver and Boston.
ODE AM's operations in Aberdeen and Great Yarmouth benefit from a
strong capability in brownfield engineering and associated
specialised integrity fabric maintenance activities from ODE's
integrated engineering resource base. These activities extend to
both offshore and associated onshore reception facilities.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
UPDDGGDUSDBDGBL
(END) Dow Jones Newswires
May 17, 2021 02:00 ET (06:00 GMT)
Iog (LSE:IOG)
Historical Stock Chart
From Apr 2024 to May 2024
Iog (LSE:IOG)
Historical Stock Chart
From May 2023 to May 2024