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(Alliance News) - UK Oil & Gas PLC on Tuesday said that Honourable Justice Holgate has published a judgement dismissing the challenge to the lawfulness of Surrey County Council granting planning consent at for long-term production at the Horse Hill oil field.
UK Oil & Gas currently holds an 86% interest in the oil field while Alba Mineral Resources, which also noted the judge's decision, holds a 12% stake.
Shares in UK Oil & Gas were up 8.6% at 0.14 pence on Tuesday in London, while Alba Mineral Resources was 5.7% higher at 0.37p.
In mid-November, a legal challenge was presented by the Weald Action Group against the council's decision, claiming that it had failed to assess the indirect greenhouse gas emissions of the development arising from the eventual combustion of any produced oil.
The challenge also claimed that the council's decision did not comply with the governing EU and Town and Country Planning Act environmental impact assessment regulations
The judgement claims that the Surrey County Council acted in lawful accordance with such regulation, and that "their obligation (to assess environmental impacts) does not include the environmental effects of consumers using (in unknown locations unrelated to the development site) an end product which will be made in a separate facility from materials to be supplied from the development being assessed."
In addition, the judge highlighted that if the challenge was successful, it would have had far reaching implication on the need to assess all indirect carbon emissions "generally resulting from the use or consumption of end products emanating from any development" and not just those from an oil production site.
"This is a victory for law and common sense. One can, however, only wonder why a comprehensively unsound claim with a clear political agenda was permitted so many bites at this legal cherry. Justice Holgate made it abundantly clear in his judgement that the courts are not responsible for making political, social, or economic choices," said Chief Executive Stephen Sanderson.
"To our opponents, many of whom fail to see the irony of burning oil to drive to our site to protest, I bring to their attention last week's Energy White Paper, in which indigenous oil and gas is a part of the UK's energy transition to net zero," Sanderson added.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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