LONDON (Alliance News) - TomCo Energy PLC said Wednesday that Red Leaf Resources Inc is moving towards commencing mining at its ML43374 and ML 50150 leases at the Seep Ridge site in Utah, which will use TomCo's EcoShale In-Capsule technology to extract oil.
The company inked a licence agreement with Red Leaf for the use of the technology to extract oil from its leases. Red Leaf is planning a 9,800 barrels of oil per day commercial operation at the site, which is around 15 miles southwest from TomCo's Holliday block lease.
TomCo submitted a notice to commence large mining operations in January, and said that following a recent trip to Utah, understands this application is progressing well and will receive public consultation by the middle of 2013.
"We are pleased to see that Red Leaf has submitted notice of commencement of mining and is moving forward into the full construction phase to construct its first capsule to demonstrate the EcoShale In-Capsule Process," said Chief Executive Paul Rankine in a statement.
Shares in TomCo were trading up 11% at 1.56 pence Wednesday morning.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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Tomco Energy (TOM)