Vermilion holds a 20% operated interest in the Corrib gas field, offshore Ireland. Production at Corrib commenced on December 30, 2015 and the Corrib field constitutes around 95% of Ireland's natural gas production.
The Corrib gas field is located approximately 83 km off the northwest coast of Ireland. Gas is transported to the Bellanaboy Bridge gas plant through 90km of pipeline where it is then processed prior to being delivered to the national grid. The Corrib project generates significant free cash flow for Vermilion given low operating costs and minimal ongoing capital expenditures requirements.
In July 2017, Vermilion and Canada Pension Plan Investment Board announced a strategic partnership whereby Vermilion would assume operatorship of the Corrib natural gas project from Shell E&P Ireland Limited along with an incremental 1.5% working interest in the Corrib Natural Gas Project. The transaction closed in Q4 2018. For more information, please refer to the July 12, 2017, November 30, 2018 and December 21, 2018 press releases.