A British daily says a small British oil company has landed a potentially lucrative deal to prospect in North Korea.

The Sunday Telegraph said that Aminex, which is listed on the London Stock Exchange, announced it had acquired the right to explore and dig for oil and natural gas reserves in the communist North.

The daily said Aminex reached an agreement on the matter with Pyongyang on June 30. The deal has been kept under wraps since negotiations on the issue were first held in 2001.

The reports pointed out that it is still unclear exactly how much oil and gas remains to be found in North Korea, both on and offshore.