UK Oil & Gas extends Cluff Natural Resources's 100%-owned Southern North Sea licences

According to the AIM-quoted natural resources investing company, Cluff Natural Resources, the UK's Oil & Gas Authority confirmed that the company's two 100%-owned Southern North Sea Gas licences will be extended.

The company said the two licences, containing an estimated combined net P50 prospective resources of 2.4trn cubic feet of gas, would be extended for an additional year subject to reaching certain milestones.

Commenting on the news, company chairman and chief executive Algy Cluff said: "We are very pleased that the OGA has granted our request to extend both of our licences. This ensures that we will be able to continue our farm-out negotiations from a stronger position, which increases the probability of the drilling of one or more wells on our licences.

"In the meantime, we have submitted our applications for further licences in the current UK Offshore Licensing Round which are due to be announced in Q2 2018, as well as continuing to assess additional investment opportunities. Our immediate priority, however, remains the creation of value for shareholders by securing the investment required to drill our two highly prospective P2248 and 2252 licences, and we are in discussions with potential farm-in partners in this regard."