(Alliance News) - Angus Energy PLC on Tuesday announced "reassuring" results from an updated competent person's report on its Saltfleetby gas field, and plans to restart testing at a West Sussex wellsite.
The UK-focused oil and gas development company said the High Court upheld its right to test the existing well at its Balcombe wellsite, on which it conducted inconclusive short-term testing in 2018.
Balcombe is located in the PEDL244 licence in West Sussex, England, in which Angus Energy has a 25% interest.
The company now intends to recommence testing operations to determine the well's commercial viability, "according to normal oilfield practice".
"The Kimmeridge reservoir at Balcombe is presently an unknown quantity, and now we are able to conduct the necessary flow testing to determine the potential to flow at commercial rates," said Chief Executive Officer Richard Herbert. He added that Angus "[remains] most mindful of the concerns of local residents".
Also on Tuesday, Angus Energy said it was pleased with the updated competent persons report at Saltfleetby, an onshore gas field at the PEDL005 licence in East Lincolnshire, England. The report followed the company's decision to drill two new wells there in 2025 and 2026.
Angus Energy said the report found a P90 NPV10 valuation of GBP57.1 million, and a P50 NPV10 valuation of GBP64.5 million, both after tax and including the full impact of the energy profits levy.
It also said that over two billion cubic feet of sales gas has been produced and exported from the existing Saltfleetby wells since August 2022.
"Following the redevelopment of the Saltfleeby field and a first year of successful production, it is very reassuring to confirm from the production of the three wells in the field that the reservoir is performing according to our expectations," Herbert commented. He added that the report "allows us to plan the next phase of development of the Saltfleetby reservoir with confidence".
Angus Energy shares were up 1.6% at 0.64 pence in London on Tuesday.
By Emma Curzon, Alliance News reporter
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Angus Energy (ANGS)