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Clipper South Gas Field Development Plan Approved

7 March 2011

Fairfield Energy plc is pleased to announce that through its wholly owned subsidiary, Fairfield Acer Limited, the Field Development Plan for the Clipper South Gas Field has been approved by the Secretary of State at the Department of Energy and Climate Change (DECC). Fairfield is a 25% partner in the Clipper South development project along with operator RWE Dea SNS UK Ltd (50%) and Bayerngas UK Ltd (25%).

The Clipper South Gas field lies 100km (60 miles) east of the English coast.  The gas at Clipper South is located in a tight Permian Rotliegend reservoir which contains approximately 500bcf of gas in place.  The field will be developed through the latest technology which is relatively new to the Southern North Sea.  This will involve five horizontal wells, each containing up to six hydraulic fractures, being drilled.  Production will be via a Wellhead platform and pipeline to the LOGGS PR platform then on to the Theddlethorpe terminal. Clipper South gas will be processed at LOGGS under the terms of a Gas Transportation and Processing Agreement with the LOGGS owners. All major contracts for the development have now been awarded.

First gas is expected in the first quarter of 2012 and field peak rates are expected to reach a maximum of 100 mmscf/d.

Fairfield’s Chief Executive Officer, Chris Wright said:

“We are delighted to have reached this important milestone in the development of Clipper South. Since purchasing the field from Shell/Esso in 2008 we have supported the deployment of cutting edge technology to recover the sizeable gas resources in this challenging reservoir. We are convinced that tight gas will play an increasing role in prolonging the life of the UKCS and supplementing indigenous UK gas production.”

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