Energy SpA — Capital/Financing Update 2021

Apr 8, 2021

National Storage Mechanism | Additional information

RNS Number : 7115U

Ithaca Energy Inc

08 April 2021

Ithaca Energy announces Captain Field EOR Stage 2 Sanction

8 April 2021

Ithaca Energy, operator of the Captain field, is pleased to announce sanction of the Captain Enhanced Oil Recovery (EOR) Stage 2 project in the UK Central North Sea after receiving Field Development Plan Addendum consent from the Oil and Gas Authority (OGA).

EOR Stage 2 is the next phase of development at our Captain Field and is building on the success of EOR Stage 1. The project is designed to significantly increase hydrocarbon recovery by injecting polymerised water into the reservoir through additional subsea wells, subsea infrastructure and new topsides facilities.

Our Captain EOR project demonstrates our ability to deploy innovative technologies to access new areas, sustain production and increase resource capture. Stage 1 of the project has demonstrated that polymer EOR technology works, with the production response in line with or better than expected across all injection patterns, helping us maximise economic recovery within the UK Continental Shelf (UKCS).

Bill Dunnett, Chief Executive Officer, Ithaca Energy, said: "Consent for Captain EOR Stage 2 progresses the application of a technology that has already demonstrated an improved recovery rate and helps extend the life of the Captain field. This project underlines our long-term commitment to the North Sea and is a major demonstration of confidence in the viability of safe, long-term operations in this basin. Our Board and partners have sanctioned the capital investment to maximise the sustained performance of this asset. We have had great input and innovation from the supply chain to help optimise this project."

Jongwoo Kim, Chief Executive Officer, Dana Petroleum, said: "Dana has maintained an interest in the Captain field for many years. It is particularly exciting to see how extensive research alongside the application of new technology is being used with great efficiency to enhance recovery. We are really pleased to have worked collaboratively with Ithaca Energy to support this important project."

The Captain field was discovered in 1977, in Block 13/22a located on the edge of the outer Moray Firth. The billion-barrel field achieved first production in March 1997 - over 20 years ago - thanks to technology developments in horizontal drilling and down-hole pump technology. The installation comprises a Wellhead Protector Platform and Bridge Linked Platform connected to a Floating Production, Storage and Offloading vessel. Ithaca Energy holds 85% and is the operator of the Captain field, Dana Petroleum holds 15%.

- ENDS -

Enquiries:

Ithaca Energy

Rhona MacInnes                   rmacinnes@ithacaenergy.com                 +44 (0)1224 334 070

FTI Consulting

Ben Brewerton                       ithaca@fticonsulting.com                           +44 (0)203 727 1000

Sara  Powell                           ithaca@fticonsulting.com                          +44 (0)203 727 1000

About Ithaca Energy

Ithaca Energy is an independent oil and gas company with production, development and exploration operations focused on the UK North Sea.  The Company was founded in 2004 and has grown through a combination of acquisitions and new field developments.  Our strategy is focused on establishing the company as a leading North Sea operator, delivering sustainable growth in free cash flow generation, underpinned by operational excellence and financial discipline. Ithaca Energy is a wholly owned subsidiary of the Tel Aviv stock exchange listed Delek Group Limited (TASE: DLEKG, US ADR: DGRLY), Israel's leading integrated energy company.

For further information please consult the Company's website www.ithacaenergy.com 

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