OilVoice - European Gas Granting Production Permit Located in Northern France

European Gas Granting Production Permit Located in Northern France

Tuesday, January 27, 2009

• Production permit “Poissonniére Extension” covering 188km2 granted.
• Area is contiguous with the Company’s 100% owned Gazonor project.
• Production permit position at Gazonor now expanded by 33%.
• Resources calculations and program development in progress.

European Gas Limited announce that the French Government has formally granted the Poissonniére Extension production permit located in northern France.

The production permit area covers 188 square kilometres (km2) of the Nord Pas de Calais Basin and is contiguous with the Company’s 100% owned Gazonor Project. The production permit includes the exclusive rights to produce all hydrocarbons including coal bed methane (“CBM”) and coal mine methane (“CMM”). The granting forms an extension to the Company’s Poissonniére production permit and is valid until December 2017 and is renewable.

Further to the grant of the Poissonniére Extension, the Company has announced a review of the CBM Resources within the area of the extension. The aim is to provide an early optimisation of the resource potential of the total Nord Pas de Calais assets owned by the Company.

PROGRAM
The resource estimates for the Poissonniére Extension area are being conducted by the European Gas technical group under Society of Petroleum Engineers (“SPE”) and Petroleum Resource Management System (“PRMS”) guidelines.

Contingent Resources estimates for the Gazonor Project to date total 5090 Petajoules (PJ) (4800 Billion Cubic Feet (Bcf) or 136 Billion Cubic Metres (Bm3)). These resources are expected to increase with the Poissonniére Extension calculations in progress.

Details of the resource calculation program and ongoing work programs for Gazonor including the Poissonniére Extension area along with planning for development options will be advised shortly.

Review the latest Coal Bed Methane news and associated company profiles