EDR.L Regulatory News (EDR)

5 Nov 2007 10:00

Egdon Resources PLC05 November 2007 5 November 2007 For Immediate Release EGDON RESOURCES PLC Start-up of 3D Seismic Acquisition in Larne Lough Egdon Resources Plc (AIM: EDR, "Egdon" or the "Company") is pleased to announcethat its wholly owned subsidiary Portland Gas NI Limited ("Portland Gas") hascommenced its planned 3D seismic acquisition programme in Larne Lough, NorthernIreland. The survey covering approximately 10 square kilometres is beingundertaken by the highly experienced geophysical contractor, IMC Geophysics.Data is being acquired in the northern half of Larne Lough using shallow-draftboats and on roads adjacent to the Lough by vibroseis trucks. Commenting on the survey, Andrew Hindle, Managing Director of Portland Gas, said"Portland Gas hopes that the data will confirm the extent of a salt sequenceseen in a 1980's borehole drilled close to the docks in Larne. The salt bedshave a limited extent in the subsurface of Northern Ireland and we believe theLarne region offers the most prospective area to find a suitable site to createcaverns to store natural gas." For further information please contact: Egdon Resources Plc Andrew Hindle, Joint Managing Director 020 8332 1200Mark Abbott, Joint Managing Director 01256 702 292 Buchanan Communications Ben Willey 020 7466 5000 Seymour Pierce Jonathan Wright 020 7107 8000 Notes to Editors: Company Background Egdon is an established, UK-based energy company primarily focused on theonshore UK. Egdon also has exploration interests in the offshore UK and France.Egdon's shares are traded on the AIM market. The Company has developed two distinctive businesses; an oil and gas explorationand production business which has a portfolio of twenty exploration licences,and a gas storage business initially focused on the development of a major saltcavern gas storage facility on Portland, Dorset. Egdon plans to demerge the two businesses in January 2008. Portland Gas NI Limited Portland Gas NI Limited, a Northern Ireland registered company, is one of agroup of companies owned by Portland Gas Limited, a wholly owned subsidiary ofEgdon Resources Plc. Northern Ireland currently has no natural gas storage facilities and relies onan uninterrupted supply from overseas or the south of Ireland to ensure that allits gas demands are met. The Northern Ireland gas market has been growingsignificantly over recent years and without access to local gas storagefacilities it could become vulnerable to supply disruptions. With no depletedgas fields in Northern Ireland, the creation of caverns within a salt sequenceprovides the best option to store significant quantities of natural gas. Theproject is at a very early stage and should it be proved technically feasiblewould be subject to a full planning application accompanied by an EnvironmentalStatement. Over the coming months, as more information becomes available,Portland Gas will be consulting with stakeholders and local public groups aboutits plans and to seek their views and advice on the wider scheme. Portland Gas has already embarked on a comprehensive Environmental ImpactAssessment (EIA) which will be developed in consultation with all stakeholdersas the project progresses. The EIA, which will thoroughly consider all aspectsof the surrounding environment, is being undertaken by RPS (Ireland), theengineering and environmental consultant company. The Portland Gas group of companies, initially set up to develop the Portlandproject in Dorset, will seek to make a significant contribution to the UK'senergy infrastructure and will seek to acquire and develop a portfolio of gasstorage assets in the UK and internationally. Details of the group's activitiescan be found at the Portland Gas website www.portland-gas.com. This information is provided by RNS The company news service from the London Stock Exchange