Egdon Resources plc (the “Company”) has been informed that as a result of Mr Mark Abbott’s younger son achieving his majority, his shareholding is no longer to be counted as part of Mr Abbott’s beneficial shareholding. Accordingly, although these shares have not been sold, Mr Abbott’s beneficial shareholding is reduced by 100,000 ordinary shares to 7,764,387 ordinary shares, representing 2.99% of the issued and voting share capital of the Company.
Egdon Resources plc (AIM:EDR) provides an update on plans to progress the development of the Wressle oil field following the recent decision of North Lincolnshire Council’s Planning Committee to refuse planning permission for hydrocarbon production.
Having consulted with Joint Venture partners and taken further detailed advice, we can advise that we will submit a formal appeal against the refusal of planning consent at the earliest opportunity.
We can also advise that we will in parallel submit a new Planning Application for the Wressle development which will include even more detailed information to address the specific concerns outlined by North Lincolnshire Council in their refusal.
We will look to progress both the new application and the appeal through the Planning system as quickly as possible. We believe that this dual track approach will provide the best opportunity for a successful outcome with the minimum delay.
In view of the planning refusal and the expected timeframe for the appeal and/or re-determination, the Company has revised its guidance for average production for the financial year ending 31 July 2017 to 100-110 barrels of oil equivalent per day (“boepd”) against our previous guidance of 165 boepd. As a result of the delay in both capital investment and generated income, the impact on the Company’s net cash-flow for the current period will be negligible.
Further to the announcement made on 16 November 2016, Egdon Resources plc (AIM:EDR) is pleased to confirm that it has now completed the acquisition of an additional interest in PEDL201 in the Company’s East Midlands core area.
Egdon has acquired an additional 12.5% interest in PEDL201 in the Widmerpool Gulf from Corfe Energy Limited for a consideration of 424,593 Ordinary Shares in the Company (“the Consideration Shares”). The value of the Consideration Shares is equivalent to £50,000 based on the average closing mid-price for the five days prior to the day of completion.
Accordingly Egdon has issued 424,593 Ordinary Shares to Corfe Energy Limited. The Consideration Shares represent 0.16 per cent. of the enlarged share capital of the Company. Application has been made for admission of the Consideration Shares to trading on AIM, which is expected to become effective on 2 February 2017.
Following the issue of the Consideration Shares, the Company’s issued share capital will consist of 259,404,176 Ordinary Shares, each carrying one voting right. The Company does not hold any Ordinary Shares in treasury. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company.
As a result of this transaction, Egdon now holds a 45.00% operated interest in PEDL201, a licence considered by Egdon to hold significant prospectivity for both conventional and unconventional resources. The acquisition adds a total of 2,471 net acres to Egdon’s licence holdings.
Commenting on the acquisition, Mark Abbott, Managing Director of Egdon Resources plc, said:
“We are pleased to have now completed this acquisition which is in line with Egdon’s stated strategy of enhancing our position in core areas where we see significant oil and gas potential.”
Egdon Resources plc (AIM:EDR) announces that the North Lincolnshire County Council’s Planning Committee has today refused planning consent for the development of the Wressle Oil Field at Lodge Farm, Wressle, North Lincolnshire.
At the same meeting the application for the installation of groundwater monitoring boreholes was approved.
Mark Abbott Managing Director of Egdon Resources plc, said:
“We are very disappointed by the decision of the Committee that goes against the positive recommendation of their Planning Officer which was determined after an extensive and thorough review of our proposals.
Our business has been operating exploration and production sites in a safe and environmentally sensitive manner across the region for many years, engaging with communities, employing local people and investing in the local supply chain.
We will now take time to consider our options including our right to bring forward an appeal.”