Dart Energy

Dart Energy has retained Envoi Ltd. to find a strategic partner willing to buy up to a 33% interest in its UK coal bed methane and shale gas acreage portfolio in the United Kingdom.

Cash offers in excess of $64 million (£ 40 million) will be considered. Dart has 32 operated and 100%-owned licenses in the UK for a combined area of more than 3,700 square kilometers in six of the major coalfield regions of Scotland, Wales and England. Coal bed methane (CBM) and coal seam gas exportation in the UK is still in its infancy.

Government estimates that the UK’s unexploited coalbed methane resources are likely to exceed 102 trillion cubic feet (Tcf).

Dart recently acquired Composite Energy, Greenpark Energy and the UK CBM interests of BG Group and as a result has become the largest holder of CBM acreage in the UK, adding to its portfolio of unconventional operations throughout the world including Europe, Asia and Australia. Dart would now like to find a partner to progress and accelerate the exploitation of its extensive and highly prospective acreage that has been independently assessed to have a combined 3C (Contingent) resource potential in excess of 10 Tcf.

Dart’s licences are all within the UK’s famous coalfield areas, which are well documented due to the legacy of the largely now historic mining industry. Significant amounts of detailed data is therefore available on the coal types, their extent and stress & fracture fields are available from the considerable geological work from the many mines and associated boreholes.

An independent reserves report by Netherland Sewell estimates that proven and probable (2P) reserves in PEDL133 alone could be 43 Bcf with the 3P potential up to 81 Bcf. The total 3C upside potential of the Airth resource alone is now estimated in excess of 1 Tcf and resulted in Dart’s decision to progress to Phase II and full development of the Airth resource starting in 2013.

For additional information, contact Mike Lakin, Envoi Ltd., at 44 (0)20-8566-1310.