LONDON (Alliance News) - Horse Hill Developments Ltd, a joint venture company set up to develop the Horse Hill well and PEDL 137 licence in the UK's Weald basin and owned by several AIM-listed companies, said Monday that it received key approvals and consents for the development of the project last week.
Co-investors in Horse Hill Developments are Alba Mineral Resources PLC, Regency Mines PLC, Angus Energy Ltd, Solo Oil PLC, Doriemus PLC, Stellar Resources PLC and UK Oil & Gas Investments PLC.
The Horse Hill group said the UK Department of Energy and Climate Change gave it formal notification on Thursday last week that the Secretary of State has granted the transfer and apportionment of rights of 65% of licence PEDL 137 from Magellan Petroleum Ltd to the company.
The DECC also informed the group that the Secretary of State has granted approval for the appointment of Horse Hill Developments as exploration operator of Licence PEDL 137.
The group said the new approvals are valid until October 17 and enable Horse Hill Developments to meet its obligations with Magellan Petroleum, which holds the other 35% of the site, to drill the Horse Hill-1 well on the licence.
The Horse Hill-1 well is proposed to have a total depth of 8,512 feet and is targeting a number of conventional stacked oil and gas targets.
"The site construction works are progressing to plan and we look forward to spudding the Horse Hill-1 well," David Lenigas said in a statement. Lenigas is chairman of UK Oil & Gas Investments, Stellar Resources and Solo Oil.
Alba Mineral Resources shares were up 3.4% to 0.749 pence, Regency Mines shares were down 1.0% to 0.352 pence, Solo Oil shares were up 1.1% to 0.323 pence, Doriemus shares were up 0.9% to 0.174 pence, Stellar Resources shares were down 4.7% to 0.882 pence, and UK Oil & Gas Investments shares were down 3.2% to 1.16 pence on Monday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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