Exploration firm Island takes control of Albanian oil and gas prospect

DUBLIN-based exploration company, Island Oil & Gas has assumed total control — via its Island International Exploration BV subsidiary — of the Durresi Block prospect located off the coast of Albania.

Island already owned a 50% stake in the Durresi prospect, but yesterday announced that it has acquired the remaining share from Lundin Mining’s Albanian subsidiary for an undisclosed sum. The deal has received formal approval from Albania’s national agency of natural resources.

In addition, Island has agreed a farm-out agreement with the Australian exploration company, Beach Petroleum, which is still awaiting regulatory approval. This will see Beach take a 25% equity stake in the Durresi prospect in return for it providing the development costs for the project.