Egdon Resources plc (AIM:EDR) is pleased to announce completion of the acquisition of an interest in a licence in the Company’s East Midlands core area.
Egdon is acquiring a 50% interest in PEDL278 (UK National Grid Block SE51b) from Celtique Energie Petroleum Limited (“Celtique”) and Investcan Ltd. (“Investcan”) who were originally awarded the licence in the 14th Round. Egdon and Island Gas Ltd (IGas, operator) are each acquiring a 50% interest in the licence from Celtique and Investcan for a nominal cash consideration. The acquisition has already been approved by the Oil and Gas Authority (OGA).
The licence contains the Kirk Smeaton tight gas discovery (RTZ, 1985) and other conventional and unconventional prospectivity. This acquisition adds 4,695 net acres to Egdon’s unconventional resources position which now amounts to a total net area of ca. 205,800 acres.
Commenting on this new acquisition, Mark Abbott, Managing Director of Egdon Resources plc, said:
“We are pleased to acquire a material holding in a licence containing the 1985 Kirk Smeaton tight gas discovery and further prospectivity at minimal cost. This acquisition is consistent with our strategy of enhancing Egdon’s position in core areas where we see significant oil and gas potential.”