FOGL, Wavefield ink 2D seismic survey contract

UK company Falkland Oil and Gas (LSE: FOGL) has signed a contract with Norwegian marine geophysical company Wavefield InSeis to acquire 10,000km of 2D seismic data in the south and east Falkland basins, FOGL said in a statement. The seismic survey contract is the second part of FOGL's new exploration program. The first part is a controlled source electromagnetic survey (CSEM) that will be carried out by US surveyor Offshore Hydrocarbon Mapping. Falkland plans to obtain CSEM data on its larger prospects and leads and then will conduct infill 2D seismic surveys on the most prospective targets. The company has mapped more than 100 prospects and leads, and plans to begin the CSEM and 2D seismic studies before year-end with the aim of announcing the results at the beginning of 2007, the statement said. The company had acquired 22,450km of 2D seismic data as of mid-July. "We continue to believe that some of these assets have the potential for multi-billion barrels of oil and gas reserves," FOGL chairman Richard Liddel said in a separate company statement.