And more from NU news Although EOI is a registered holder of 33% of the EL1070 licence, through a 2009 agreement with Shoal Point Energy the Company now holds a 100% interest in the Deep Rights, with Shoal Point Energy holding 100% interest in the Shallow Rights on the licence.
The Deep Rights on EL1070 are defined as all petroleum substances and associated rights within and stratigraphically below the Ordovician Carbonate Platform (excluding Cape Cormorant and Table Cove Formations). The main target within the EL1070 Deep Rights is the Shoal Point prospect, which is a 'conventional' exploration target, and is reachable from an onshore location.
EL1070 was issued in January 2002 and continues to be in good standing beyond its 9 year exploration phase, while partners in the project diligently pursue the award of a SDL for discoveries within the Shallow Rights section. In order to pursue Shallow Rights hydrocarbons in the Green Point shale fracking will be necessary, on which there is currently a moratorium in Newfoundland. The Company, in conjunction with G2 Energy, will also need to liaise with the Government to commence activity on the conventional Shoal Point prospect; G2 Energy has already conducted informal discussions with the regulator.
Nigel Burton, CEO of NU-Oil, commented: