Egdon Resources PLC Wressle Development Update (5341G)
March 18 2020 - 2:00AM
UK Regulatory
TIDMEDR
RNS Number : 5341G
Egdon Resources PLC
18 March 2020
18 March 2020
EGDON RESOURCES PLC
("Egdon" or "the Company")
Wressle Development Update
Egdon Resources plc (AIM: EDR, "Egdon") is pleased to provide an
update on the Wressle development in North Lincolnshire Licences
PEDL180 and PEDL182 where the Company holds a 30% operated
interest.
Given recent events in the oil and gas markets, Egdon has
updated its economic model for the Wressle project.
This work demonstrates that the project is economically robust
in the current low oil price environment with an estimated project
break-even oil price of $17.62 per barrel.
The Wressle development was granted planning consent on appeal
on 17 January 2020. The planning inspector also allowed Egdon's
application for costs against North Lincolnshire Council ("NLC")
and this has subsequently been submitted to NLC.
The forward plan for the Wressle development comprises the
following key stages
1. Discharging the planning conditions, finalising detailed
designs, tendering and procurement of materials, equipment and
services and finalising all HSE documentation and procedures
2. Installation of the ground water monitoring boreholes and
establishment of baseline conditions through monitoring
3. Reconfiguration of the site
4. Installation and commissioning of surface facilities
5. Sub-surface operations
6. Commencement of production
Progress to date has concentrated on the enabling works
highlighted in point 1 above. The initial work on site will be the
installation of the groundwater monitoring boreholes with the main
site operations occurring in the last months of the work stream. On
current plans, the Company envisages first oil during H2 2020.
Commenting, Mark Abbott, Managing Director of Egdon Resources
plc, said:
"Our modelling shows that the Wressle development is
economically robust at and below the current oil price and remains
a core focus for the business with a current expectation of first
oil in the second half of 2020."
For further information please contact:
Egdon Resources plc
Mark Abbott / Martin Durham 01256 702 292
Buchanan
Ben Romney, Chris Judd 020 7466 5000
Nominated Adviser and Joint Broker - Cantor Fitzgerald
Europe
David Porter/ Rick Thompson (Corporate Finance) 020 7894 7000
Caspar Shand Kydd (Sales)
Joint Broker - VSA Capital Limited
Andrew Monk (Corporate Broking) 020 3005 5000
Andrew Raca (Corporate Finance)
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.
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.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
END
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