RE: RNS11 Mar 2022 07:03
Stephen Sanderson, UKOG's Chief Executive commented:
"Recent tragic events in Ukraine have rightly focused attention on the security of UK gas supply and the price volatility that can result from an increasing dependence on imported gas. We believe new UK domestic gas, from sites such as Loxley, could help increase security of supply and help mitigate against such price volatility. In these respects, moving Loxley forward would also be entirely consistent with the Prime Minister's recent statement regarding a new energy strategy that includes using more domestic hydrocarbons to reduce Russian imports.
Prioritising new UK gas production, whether as a transitional fuel or as a source for reforming into blue hydrogen as the Company plans for Loxley, also offers the UK the benefit of a much lower pre-combustion carbon footprint than imported pipeline gas and LNG. It therefore has a potentially significant benefit to the UK's net zero plans versus the net zero downside of imports.
Backing UK domestic gas makes strategic, economic and environmental good sense."