Argos Resources shares surged 23% to 2.4p on news that the Falkland Islands government extended its second term PL001 license. The Falklands Islands-based explorer will not need to commit to any additional work to be granted the license between 1 May 2022 and the year-end.
Argos Resources shares have risen 92% since the beginning of 2022.
In a brief release the company said the Falkland Islands based exploration company focused on the North Falkland Basin, is pleased to announce that the Falkland Islands Government has extended the second term of the Company's PL001 License from 1 May 2022 to 31 December 2022, with no additional work commitments.
Argos Resources is an oil and gas exploration company listed on AIM and based in the Falkland Islands. The Company's principal asset is a 100% interest in production license PL001 covering an area of approximately 1,126 square kilometers in the North Falkland Basin.
A 3D seismic survey has been acquired over the entire license area. The quality of the seismic data acquired is excellent and has led to the identification of 52 prospects and 40 leads within the license area.
An independent Competent Person's Report attributes to these prospects a total unrisked potential of 3.1 billion barrels of prospective recoverable resource in the most likely case and up to 10.4 billion barrels in the upside case.
The license area is immediately adjacent to the giant Sea Lion oil discovery which contains over 500 million barrels of recoverable resource. A decision to proceed with the development of the Sea Lion field is pending.
This statement has been approved by John Hogan, Managing Director of Argos Resources and a qualified geologist with over 40 years of experience in the petroleum industry.