22 Jan 2019 08:34
22 January 2019
EGDON RESOURCES PLC
("Egdon" or "the Company")
Commencement of drilling operations at Springs Road
Egdon Resources plc (AIM:EDR) notes the following announcement made today by IGas Energy plc ("IGas") on behalf of the operator of the Springs Road Licence PEDL140, in which Egdon holds 14.5% interest:
"IGas is pleased to announce the spud of the Springs Road-1 exploration well at Misson Springs, in North Nottinghamshire.
This is the second well that forms part of an integrated exploration and appraisal programme to better define the basin and is located in the central basin area.
This exploratory well is a vertical well targeting the Bowland Shale geological formation.."
Mark Abbott, Managing Director of Egdon Resources plc, said:
"We are delighted that the Springs Road-1 well has now been spudded. This is a key well for Egdon as it will provide the first modern data on the shale and tight gas targets in the Gainsborough Trough - a core area for Egdon - where we have assembled a portfolio comprising 82,000 net acres with an estimated 20 TCF of net undiscovered Gas Initial In Place ("GIIP")."
For further information please contact:
Egdon Resources plc
Mark Abbott 01256 702 292
Buchanan
Ben Romney, Chris Judd 020 7466 5000
Nominated Adviser and Broker - Cantor Fitzgerald Europe
David Porter/Nick Tulloch (Corporate Finance) 020 7894 7000
Caspar Shand Kydd (Sales)
Joint Broker - VSA Capital Limited
Andrew Monk (Corporate Broking) 020 3005 5000
Andrew Raca (Corporate Finance)
Notes to Editors:
Gainsborough Trough
Egdon has extensive operated and non-operated acreage interests in the Gainsborough Trough unconventional gas plays in the East Midlands.
Egdon are the third largest net acreage holder in the Gainsborough Trough play with 82,000 acres with shale/tight gas potential
Egdon's licences in the Gainsborough Trough contain an estimated 20 TCF of net Undiscovered GIIP in Upper and Lower Bowland-Hodder Shales (or 40% of Egdon's total net undiscovered unconventional resources GIIP of 51 TCF (ERCE 2014 and 2016 see below). These Carboniferous age tight gas and shale gas plays with Egdon's acreage have yet to be tested by modern wells employing the latest logging and coring techniques.
Further information on the Gainsborough Trough is available on our website at http://www.egdon-resources.com/gainsborough-trough/ and http://www.egdon-resources.com/operations/uk/east-midlands/
Further information on the Springs road well can be found at the operator IGas' engagement website http://www.igas-engage.co.uk/our-work-in-north-nottinghamshire/
Egdon Resources plc (LSE: EDR) is an established UK-based exploration and production company focused on onshore exploration and production in the hydrocarbon-producing basins of the UK.
Egdon holds interests in 44 licences in the UK and has an active programme of exploration, appraisal and development within its portfolio of oil and gas assets. Egdon is an approved operator in the UK.
Egdon was formed in 1997 and listed on AIM in December 2004.
ERCE Estimates
ERCE's estimates of undiscovered GIIP are subject to exploration risk, which may be considerable. ERCE has not assessed this risk as no Prospective Resources have yet been attributed to these properties by Egdon and ERCE, and further geoscientific and engineering data need to be acquired to be able to quantify these resources. ERCE notes that mining of the overlying coal measures has occurred in a number of the licences, which may affect site access and drilling operations. In the case where Prospective Resources are identified within these licences, there is no certainty that any portion of the resources will be discovered. If discovered, there is no certainty that it will be commercially viable to produce any portion of the resources.
Qualified Person Review
In accordance with the AIM Rules - Note for Mining and Oil and Gas Companies, this release has been reviewed by Mark Abbott, Managing Director of Egdon, who is a geoscientist with over 30 years' experience and is a member of the Petroleum Exploration Society of Great Britain and a Fellow of the Geological Society. Mr Abbott has consented to the inclusion of the technical information in this release in the form and context in which it appears.
Evaluation of hydrocarbon volumes has been assessed in accordance with 2007 Petroleum Resources Management System prepared by the Oil and Gas Reserves Committee of the Society of Petroleum Engineers (SPE) and reviewed and jointly sponsored by the World Petroleum Council (WPC), the American Association of Petroleum Geologists (AAPG) and the Society of Petroleum Evaluation Engineers (SPEE).
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). Upon the publication of this announcement via Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain