LGO has identified unconventional gas prospectivity in the Lower Jurassic within the acreage held by it which spans over 550sq km in the proven Basque-Cantabrian basin in northern Spain, and these prospects are currently being assessed.
Sorgenia, LGO and RAG have agreed an exclusivity period of 10 weeks to complete their assessment of LGO’s unconventional gas opportunities in Spain and finalise full terms and conditions of a formal three way agreement between the parties based on the agreement.
LGO executive chairman David Lenigas said that LGO has now attracted four international companies to potentially assist with the full exploitation of its entire Spain acreage.
Sorgenia is a European conglomerate engaged in the production, import and sales of electricity and gas, and is seeking shale gas acquisitions to increase its gas supply in Europe.
RAG is a European gas exploration and production company with operations in Austria, Hungary, Germany and Poland.
