1st Feb 2019 17:59
LONDON (Alliance News) - UK Oil & Gas PLC said Friday it had appointed a contractor for its Horse Hill oil discovery in Surrey which is partially-owned by its chair.
Texas-based Apex Completions LLC has been contracted to help UK Oil & Gas to understand the Portland and Kimmeridge reservoirs at the site through the delivery of "integrated geological, geochemical, rock mechanics and reservoir engineering analysis and interpretation."
No financial details about the contract were disclosed.
UK Oil & Gas Chair Allen Howard is currently a director and a shareholder in Apex. Consequently, the contract with Apex is deemed to be a related party transaction.
The independent directors of UK Oil & Gas, however, have deemed the terms of the contract to be "fair and reasonable" for shareholders.
"It is the directors' viewpoint that Apex's technical approach and technologies are unique and not available elsewhere in the market place," UK Oil & Gas added in a statement.
Shares in UK Oil & Gas closed 3.3% higher at 1.26 pence on Friday.
Related Shares:
UK Oil & Gas