4 Sep 2018 07:00
4 September 2018
EGDON RESOURCES PLC
("Egdon" or "the Company")
Holmwood Update
Egdon Resources plc (AIM:EDR), notes the following announcement made today by Europa Oil and Gas (Holdings) plc on behalf of the operator of the Holmwood Licence PEDL143, of which Egdon holds 18.4% interest:
"Europa Oil & Gas (Holdings) plc, the UK and Ireland focused oil and gas exploration, development and production company, announces that it has been notified by the Head of Estates at the Forestry Commission that the Minister for the Environment, Food and Rural Affairs, has decided not to renew the lease at Bury Hill Wood, Coldharbour Lane, Surrey. Bury Hill Wood is the proposed site for a temporary exploration well to test the conventional Holmwood prospect on licence PEDL 143 in the Weald Basin, Surrey. The lease expires on 12th September 2018.
Following the Minister's decision, the Company, on behalf of its partners, will be withdrawing its planning application to drill the Holmwood prospect from the Bury Hill Wood site.
PEDL 143 has recently been extended until 30th September 2020, and in addition to the established Portland sandstone reservoir, contains the Kimmeridge Limestone which, following success at the nearby Horse Hill discovery, is an emerging play in the Weald Basin. The Company, with its partners, intends to undertake a full evaluation of alternative sites from which to target the Holmwood prospect, and other plays in the licence."
Commenting on the announcement Mark Abbott, Managing Director of Egdon said: "The Minister's decision is highly frustrating. However, we note the commitment of the operator to evaluate alternative sites and we will work with Europa and the joint venture partners to agree a forward plan for the licence. Meanwhile we will continue to progress our plans across our broad and extensive portfolio of UK projects."
For further information please contact:
Egdon Resources plc |
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Mark Abbott | 01256 702 292 |
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Buchanan |
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Ben Romney, Chris Judd | 020 7466 5000 |
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Nominated Adviser and Broker - Cantor Fitzgerald Europe |
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David Porter/Nick Tulloch (Corporate Finance) | 020 7894 7000 |
Caspar Shand Kydd (Sales) |
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Joint Broker - VSA Capital Limited |
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Andrew Monk (Corporate Broking) | 020 3005 5000 |
Andrew Raca (Corporate Finance) |
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Notes to Editors:
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.
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.
The Holmwood Prospect:
The Holmwood Prospect is one of the largest undrilled prospects in the Weald Basin. A Competent Persons Report by ERC Equipoise Limited, published in June 2012 on Europa's website estimated that the Holmwood prospect could contain mean gross unrisked prospective resources of 5.6 million barrels of oil for the combined Portland and Corallian objectives.