7th Aug 2015 14:46
LONDON (Alliance News) - Europa Oil and Gas (Holdings) PLC Friday said it has won its appeal and secured planning permission for the Holmwood exploration well in the PEDL143 license in Surrey.
The PEDL143 license is a joint venture between numerous listed-companies. Currently, UK Oil and Gas Investments PLC is completing a farm-in on the license, and once completed, Europa will hold a 40% stake and operate the license, with UK Oil and Gas and Warwick Energy holding 20% stakes each. AIM-listed Egdon Resources PLC holds a 18.4% stake and Altwood Petroleum holds the remaining balance.
Back in 2011, Surrey County Council made a decision not to grant permission to drill one exploratory borehole and undertake a short term test for hydrocarbons at the Holmwood prospect, after Europa had waited for three years for its application to be considered.
Europa also submitted a further application to Surrey County Council in May for the underground well path for the Holmwood exploration well, which it is still being considered.
"It is understood that Surrey County Council will make a decision on this application now that the Planning Inspectorate has issued its decision on the planning appeal. Europa and its partners will wait until Surrey County Council makes its decision on the underground well path before considering next steps on this licence," said Europa.
"We are pleased with the Planning Inspector?s decision. With mean gross un-risked prospective resources of 5.6 million barrels of oil, as estimated in a competent person's report published in June 2012, and a one in three chance of success, we regard Holmwood as one of the best undrilled conventional prospects in onshore UK," said Europa Chief Executive High Mackay.
Europa shares were trading up 4.9% to 5.90 pence per share on Friday afternoon, whilst Egdon shares were down 3.5% to 10.25p. UK Oil and Gas shares were up 5.2% to 1.92p.
By Joshua Warner; [email protected]; @JoshAlliance
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