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The Board of Egdon Resources plc (AIM:EDR) notes the release made today by Europa Oil and Gas (Holdings) plc (“Europa”) advising of yesterday's decision of the Planning Committee of Surrey County Council to refuse planning permission for the UK onshore Holmwood-1 exploration well.Europa also advised that the combination of the very close voting result and the recommendation by the Planning Officers to allow the drilling, following an exhaustive review of the application, gives the Directors and partners sufficient justification to appeal this decision on the grounds that the decision to refuse was not made purely on the facts of the case.Holmwood is situated in PEDL143 where Egdon holds a 38.4% interest. The joint venture partners are Europa Oil & Gas Ltd (Operator) (40%), Warwick Energy (20%) and Altwood Petroleum Limited (1.6%).

Further to the announcement of 5 June 2014, Egdon wishes to notify that it has now obtained consent from DECC for the transfer of licences from Alkane. As a consequence, admission of the new ordinary shares issued pursuant to the transaction with Alkane, the Placing and Open Offer, and completion of the acquisition, is now expected to become effective on 12 June 2014.Mark Abbott, Managing Director of Egdon commented:

"We are delighted to have obtained consent from DECC enabling the transfer of licences in Alkanes shale-gas interests. Following this transfer, Egdons prospective acreage in UK shale-gas will nearly double to 140,176 acres, creating a significant new UK shale-gas player."

Egdon Resources plc (AIM:EDR) is pleased to report that its wholly owned subsidiary Egdon Resources Avington Limited ("ERA") has reached agreement to sell a 10% interest in the Avington oil field under licence PEDL070, for £400,000 in cash.Under the transaction, ERA has agreed to sell a 5% interest to IS E&P Limited and a further 5% interest in the licence to IS NV Limited (together the "IS Companies"). The consideration payable by each of the IS Companies for their respective 5% interests will comprise £200,000 in cash payable on completion and the assumption of their pro-rata shares of a Net Profit Interest ("NPI") payable to Heyco Energy Holdings S.L. The NPI varies between 5 and 10% dependent upon oil price. The effective date of the transaction is 1 June 2011.The transfers of interest are subject to approval by the Department of Energy and Climate Change.Prior to the transaction ERA held a 16.67% interest in PEDL070. Egdon Resources U.K. Limited also holds a further 20% interest in the licence meaning that on completion Egdon will retain an aggregate 26.67% interest in the licence and the Avington oil field.The Avington oil field is located in the County of Hampshire and is operated by Star Energy Oil UK Limited. Oil is currently produced from the Jurassic age Great Oolite reservoir from two wells, Avington-2Z and Avington-3Z. Production averaged approximately 70 barrels of oil per day in June 2011.The sale will reduce Egdon's daily production by a maximum expectation of 7 barrels of oil per day and reduce its Proven and Probable reserves by an estimated 23,000 barrels of oil. The contribution to net profit from the 10% interest for the eleven months to end June 2011 after depreciation and amortisation was £18,500 before tax (unaudited). The gross cash flow from the interest for the same period was £58,000 (unaudited). The carrying value of the asset sold as at 30 June 2011 was £422,390 (unaudited).The proceeds of the sale, which will total £400,000 payable on completion, will be utilised on Egdon's active UK and French exploration, appraisal and development programme where the Company believes it can generate a better return on investment.The IS Companies are private companies involved in oil and gas exploration and production. InfraStrata plc is a 50% shareholder in both companies although both companies have independent boards. Egdon directors Ken Ratcliff and Walter Roberts are also directors of InfraStrata plc and Walter Roberts and John Rix have shareholdings in the IS Companies. As such an independent committee of Egdon directors comprising Philip Stephens, Alan Booth and Mark Abbott was set up to consider the offers and negotiate and approve the transaction.Commenting on the sale Egdon's Managing Director Mark Abbott said:

"These transactions realise a significant proportion of our expected future value from the transferred interest in cash at a time of strong oil price. Egdon believes it can utilise this cash on its higher potential projects in the UK and France to provide a better return for shareholders We still retain a material interest in the Avington field and any upside which may be realised from future drilling".

Egdon Resources plc (EDR:AIM) is pleased to provide an update on production testing of the Keddington-4 well in Egdon’s operated licence PEDL005 (Remainder) located in Lincolnshire.The Keddington-4 well was drilled as a re-entry and horizontal sidetrack from the Keddington-1Z "donor" well, during April 2011 and encountered a total of 120 metres of the primary reservoir Unit 1 sandstone and 65 metres of Unit 2.Site reinstatement works have been completed and the Keddington-4 well commenced pumping operations on Monday 23 May 2011 at 08.30 hours. After initial recovery of kill-brine and oil-based drilling mud, the well began free-flowing oil and gas through an adjustable choke and the pump was shut-off. The well has been shut-in periodically to observe pressure behaviour. Free-flowing production over a flowing period of 68 hours to 07.30 on 27 May 2011 has yielded 647 barrels of oil along with 1,106,300 cubic feet of gas on a minimum choke setting. The production rate for the 24 hours to 07.30 hours on 27 May 2011 was measured at 234 barrels of oil per day (“bopd”) and 518,000 cubic feet of gas per day (“cfg/d”). No formation water has been observed to date.It is intended to continue to produce the Keddington-4 well over the coming few weeks to determine the optimum rate and methods of producing the well. Production from the adjacent Keddington-3z well, which was producing at constrained rates of 100 bopd and 650,000 cfg/d prior to being shut-in during the drilling operations, will resume in the coming weeks once stable production has been established from Keddington-4.We will provide further updates once stable oil and gas rates for the field are established.Egdon holds a 75% operated interest in PEDL005(Remainder). The joint venture partners are Terrain Energy Limited (15%) and Alba Resources Limited (10%), a wholly owned subsidiary of Nautical Petroleum plc (AIM: NPE).Commenting on the production testing operations, Egdon’s Managing Director Mark Abbott said:

“We are pleased by these initial production results from the Keddington-4 well. The good oil rates, lack of any observed formation water and current gas production from the well are all encouraging. We will continue to flow and monitor the well over the next few weeks as we look to define the optimum production strategy for the well and the field as a whole.”

Egdon Resources plc (EDR:AIM) is pleased to provide an update on changes to certain of its UK licence interests as well as details of a recent seismic survey.Egdon have reached agreement with Europa Oil and Gas Limited (“Europa”) and Celtique Energie Petroleum Ltd. (“Celtique”) to equalise working interests across contiguous Petroleum Exploration and Production Licences (“PEDL”) 180 and 182 in the East Midlands. Egdon is the current operator of PEDL182 and will assume operatorship of PEDL180. On conclusion of the transaction, which is subject to approval from the Department of Energy and Climate Change (“DECC”), Egdon will hold a 33.33% interest in both licences reducing from its current 50%. The transaction provides alignment for the planned exploration programme for this area, which contains a trend of oil prone structures including the Broughton oil discovery and Wressle Prospect, which spans the two licences. A joint 3D seismic survey is planned for later in 2011 to firm up drilling locations for the licences. It is hoped to drill during 2012 as part of a planned multi-well drilling programme in the East Midlands.Egdon have also reached agreement with Celtique whereby Celtique will acquire a 25% interest in PEDL181 from Egdon, again subject to approval by DECC. Following completion, Egdon will hold a 25% interest. Europa is the operator of PEDL181 with a 50% interest.Egdon’s interests in PEDL180 and 181 were acquired from Valhalla Oil and Gas Limited (“Valhalla”) earlier in 2011. The licences are covered by an Area of Mutual Interest agreement between Egdon and Celtique. Celtique will assume 50% of the consideration to Valhalla. This will comprise the payment of a 10% Net Profit Interest (“NPI”) on each 25% interest in PEDL180 and PEDL181 assigned to it by Egdon (2.5% net). The NPI is payable from revenues after recovery of pro-rata exploration, development and production costs.Elsewhere in the East Midlands, Egdon is pleased to report the successful completion of a 13 kilometre 2D seismic programme over the Burton on the Wolds Prospect in PEDL201 where Egdon holds a 50% operated interest. The Burton on the Wolds prospect is located on the southern margin of the Widmerpool Basin to the South-East of the Rempstone Oil Field and is a four-way dip-closed prospect associated with an underlying seismic anomaly. Indicative prospective resources are estimated by Egdon at around 1.5 million barrels.Commenting on the recent developments, Egdon’s Managing Director Mark Abbott said:

“We are pleased to have reached agreement with Europa and Celtique in relation to PEDLs 180, 181 and 182 and to have assumed operatorship of PEDL180. We are now in a position to operate the forthcoming 3D seismic programme and develop plans for drilling on this highly prospective trend with a uniform Joint Venture partnership. The early results of the seismic programme over the Burton on the Wolds Prospect look encouraging and we hope will lead to a firm drilling location.”

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Egdon Resources plc notes the announcement made today by Europa Oil and Gas (Holdings) plc (Europa), the operator of PEDL143, regarding the Court of Appeal decision in relation to the Holmwood prospect.Europa has advised that the Court of Appeal has today dismissed an appeal by the Leith Hill Action Group against the High Court judgment in Europas favour, in relation to the drilling of an exploratory well at the Holmwood prospect (Holmwood) in the PEDL143 licence in the Weald Basin, Surrey. Egdon holds a 38.4 per cent. interest in PEDL143.As a result of the Court of Appeal ruling, the High Court judgment of 25 July 2013, is upheld. Europas appeal against Surrey County Councils refusal to grant planning permission to drill one exploratory borehole and undertake a short term test for conventional hydrocarbons at the Holmwood prospect will therefore be remitted to the Planning Inspectorate for redetermination. This may involve a further planning inquiry.

Egdon Resources plc (AIM: EDR) today provides an update on operations at two key UK projects.The Board is pleased to report that first gas flows were achieved on 19 April 2011 at the Kirkleatham gas development in PEDL068 where the Company holds a 40% operated interest. The joint venture partners are Sterling Resources (UK) Ltd (47%), Yorkshire Exploration Limited (8%) and Montrose Industries Limited (5%).During the early stages of production from the field, gas flow rates and their duration will be restricted as system performance and gas quality is monitored and training undertaken of the site operatives. It is expected that flow rates will be gradually ramped up to the maximum of around 5 million cubic feet of gas per day and 24 hour operations will commence in the coming weeks.The gas from Kirkleatham is sold to Sembcorp Utilities (UK) Limited, the operator of the Wilton site for use in their GT2 gas turbine power plant.The Board also reports that drilling operations have now been completed at Keddington-4 in Lincolnshire licence PEDL005(Remainder) where Egdon holds a 75% operated interest. The joint venture partners are Terrain Energy Limited (15%) and Alba Resources Limited (10%), a wholly owned subsidiary of Nautical Petroleum plc (AIM: NPE).The Keddington-4 well was drilled as a re-entry and horizontal sidetrack from the Keddington-1Z "donor" well, which was drilled by Candecca Resources in 1998. The British Drilling and Freezing Limited BDF28 drilling unit mobilised to site on 1 April and operations began on 4 April. The plugging-back of the existing well was completed and the drilling of the sidetrack commenced at 0700 hours on 9 April from a kick-off depth of 2080 metres. The well reached its total depth of 2468 metres at 1800 hours on 22 April. A total of 120 metres of the primary reservoir Unit 1 sandstone with high gas readings indicative of the presence of oil was penetrated some 6 metres shallower than in the Keddington-1Z well. An additional 65 metres of Unit 2 was also drilled. Due to borehole stability concerns, it was decided not to deepen the well as planned to penetrate the "Namurian" sandstones, which had gas indications in Keddington-3. Keddington-4 has now been completed for pumped production with a slotted liner over the entire horizontal section of the well. Once the drilling rig has demobilised from site later this week all surface facilities will be reinstated and the well put into production. Production from the adjacent Keddington-3z well, which has been suspended for safety reasons during the drilling operations, will resume once Keddington-4 has been tested.Commenting on these developments Egdon's Managing Director Mark Abbott said:

"Having achieved the milestone of first gas at Kirkleatham, we now look forward to achieving optimum production rates in the coming weeks. The presence in Keddington-4 of a significant section of Unit 1 reservoir up-dip of the Keddington-1Z well is encouraging and we look forward to the results of production from this well during early May."