28 Feb 2020 07:00
28 February 2020
Independent Oil and Gas plc
Harvey and Redwell Update
Independent Oil and Gas plc ("IOG" or "the Company"), (AIM: IOG.L), the development and production company focused on becoming a substantial UK gas producer, provides an update on the Harvey (P2085) and Redwell (P2441) licences in the UK Southern North Sea.
Option Expiry
The Company confirms that the option held by its Core Project partner, CalEnergy Resources Limited ("CER"), to acquire 50 per cent of the Harvey and Redwell licences has now expired. However, discussions remain ongoing as to potential CER participation in these licences.
Harvey & Redwell Resources
Further to the 48/24b-6 Harvey appraisal well drilled in Q3 2019, as previously stated the Company estimates mid-case recoverable gas volumes of 40 Bcfe in Harvey and 100 Bcfe in Redwell. IOG continues to progress sub-surface re-mapping and modelling of the Harvey-Redwell area to further define its commercial potential.
Andrew Hockey, CEO of IOG, commented:
"We are advancing our Harvey and Redwell mapping and modelling work in order to generate optimal development plans for these assets. In the context of our Core Project, we believe they will present attractive incremental investment opportunities for the Company."
Certain information communicated in this announcement was, prior to its publication, inside information for the purposes of Article 7 of Regulation 596/2014.
Enquiries:
Independent Oil and Gas plc Andrew Hockey (CEO) Rupert Newall (CFO) James Chance (Head of Corporate Finance & IR)
| +44 (0) 20 3879 0510 |
finnCap Ltd Christopher Raggett (Corporate Finance) Simon Hicks (Corporate Finance) Camille Gochez (Corporate Broking)
| +44 (0) 20 7220 0500 |
Peel Hunt LLP Richard Crichton David McKeown
| +44 (0) 20 7418 8900 |
Vigo Communications Patrick d'Ancona Chris McMahon Simon Woods
| +44 (0) 20 7390 0230 |
About IOG:
IOG owns and operates a 50% stake in substantial low risk, high value gas reserves in the UK Southern North Sea. The Company's Core Project targets a gross 2P peak production rate of 140 MMcfe/d (c. 24,000 Boe/d) from gross 2P gas Reserves of 302 Bcfe¹ + 2C gas Contingent Resources of 108 Bcfe², via an efficient hub strategy. In addition to the independently verified 2P reserves at Blythe, Elgood, Southwark, Nailsworth and Elland and 2C Contingent Resources at Goddard, IOG also has independently verified best estimate gross unrisked prospective gas resources of 73 Bcfe² at Goddard. Alongside this IOG has management estimated mid-case recoverable gas volumes of 40 Bcfe and 100 Bcfe at the Harvey and Redwell licences and continues to pursue value accretive acquisitions to generate significant shareholder returns.
1ERC Equipoise Competent Persons Report: October 2017, adjusted by Management to account for updated project timing and compression
2ERC Equipoise Competent Persons Report: October 2018
Competent Person's Statement
In accordance with the AIM Note for Mining and Oil and Gas Companies, IOG discloses that Andrew Hockey, IOG's CEO, is the qualified person that has reviewed the technical information contained in this document. Andrew Hockey has an MSc in Petroleum Geology and has been a member of the Petroleum Exploration Society of Great Britain since 1983. He has over 35 years' operating experience in the upstream oil and gas industry. Andrew Hockey consents to the inclusion of the information in the form and context in which it appears.