Egdon Resources hikes stake in PEDL068 to 68%

(ShareCast News) - Egdon Resources is acquiring an additional 20% interest in Petroleum Exploration and Production Licence PEDL068 from DESS Energy Ltd, taking its total stake to 68%.Egdon is operator of PEDL068, which is located in the Cleveland Basin, North Yorkshire.As consideration, Egdon will bear DESS' retained 20% share of ongoing expenditure for the next six months.In addition it will accept liability for DESS's 20% share of the existing abandonment liability for the Kirkleatham site and Kirkleatham-1 well, but not for any future works.Egdon estimates this transaction will add about 1.75 bcf of Best Estimate Contingent and Prospective Conventional Resources to its portfolio.DESS has also sold a 5% interest to existing PEDL068 partner Montrose Industries Ltd.