GTO’s strategy has been to acquire acreage in mature basins with proven plays and relatively close to existing infrastructure, to hopefully attract funding and or new partners to progress the execution of drilling and confirming the potential. This has worked well in the Netherlands where we have core assets and expect to be drilling two wells by early 2012.
More recently, GTO has embarked on obtaining larger frontier acreage with ‘blue sky’ potential and lot’s of running room for future exploration once a successful play/prospect has been proven. Such examples are the French application and pending award, and the 4 contiguous UK blocks in Quadrants 28/29 in the recent licence round.
GTO continued its strategy of acquiring acreage close to infrastructure and with proven plays in the UK 26th Licence Round, and was successful with the award of two licences – 29/20 next to the producing Auk Field, and 15/11 & 16b next to the Piper Field. GTO and its partners Two Seas Oil & Gas seek a partner to carryout the substantial work programmes to drill the identified prospects in both licences.
In a similar vein, but different arena, GTO has acquired a 20% interest in an onshore licence Hungary. The aim here is to target an extended proven play into a new area, but which is still close to infrastructure for early development should the exploration well be successful. Drilling could take place in 2011.
Going forward into 2011, GTO with its established portfolio of assets, intends to seek funding or new JV partners to help carryout a substantial programme of activity across the whole portfolio. At the same time it will continue to look at new opportunities that will add value to the company.