Commencement of drilling operations - Wressle-1 exploration well (PEDL180)

Egdon Resources plc (AIM:EDR) is pleased to announce the commencement of drilling operations at the Wressle-1 conventional oil exploration well in Lincolnshire Licence PEDL180 located to the East of Scunthorpe.The Wressle-1 well "spudded" at 0300 hours on 19 July 2014. Drilling operations are expected to take around 38 days.The planned well will be drilled as a deviated well to a total depth of about 2,300 metres (ca. 1,850 metres TVDSS). It has been designed to intersect a number of prospective Upper Carboniferous age sandstone reservoirs in a structurally favourable position near the crest of the Wressle structure.The Wressle Prospect is defined on proprietary 3D seismic data, which was acquired by Egdon in February 2012. The Prospect is located on trend with the producing Crosby Warren oil field and the Broughton-B1 oil discovery, both to the immediate northwest, and the Brigg-1 oil discovery to the immediate southeast. All contain oil in various different sandstone reservoirs within the Upper Carboniferous succession. The gross mean Prospective Resources at Wressle, as calculated by Egdon, are estimated to be 2.1 million barrels of oil.The interests in PEDL180 and the Wressle-1 well are:Egdon Resources U.K. Limited25.00% (Operator)Celtique Energie Petroleum Limited33.33%Europa Oil & Gas Limited33.34%Union Jack Oil plc8.33%

Operations at this site will not - either now or in the future - involve the process of hydraulic ‛fracking’ for shale gas.

Commenting on the commencement of drilling operations Mark Abbott, Managing Director of Egdon said:

"We are pleased to be commencing a more active operational period with the start of drilling operations on the Wressle prospect and we look forward to updating shareholders with the results from this well towards the end of August. Success in our conventional exploration drilling programme could lead to near-term additions to our production and revenue stream and is a key part of our strategy."

July 21, 2014

Preliminary Results of the Wressle-1 Exploration Well

Egdon Resources plc (AIM:EDR) is pleased to announce the preliminary results from drilling of the Wressle-1 conventional exploration well located to the East of Scunthorpe.

The Wressle-1 well was spudded on 18 July 2014 and on 23 August 2014 reached a total depth (TD) of 2240 metres measured depth (MD) (1814 metres true vertical depth below OS datum (TVDSS)). Elevated mud gas readings were observed over large parts of the interval from the top of the Penistone Flags reservoir target (1831.5 metres MD) to TD.

The well was logged using measurement whilst drilling (MWD) logging tools run on the drill string. Preliminary petrophysical evaluation of the log data has indicated the presence of potential hydrocarbon pay in three main intervals;

  • Penistone Flags - up to 19.8 metres measured thickness (15.9 metres vertical thickness)
  • Wingfield Flags - up to 5.64 metres measured thickness (5.1 metres vertical thickness)
  • Ashover Grit - up to 6.1 metres measured thickness (5.8 metres vertical thickness)

The well is currently being completed with a 4 ½" liner to enable selective and sequential testing of these intervals as part of an extended well test, for which planning consent has already been received. These test operations, which will be designed to determine the flow rates, hydrocarbon type and hence commerciality of the Wressle-1 well, will be undertaken using a work-over rig and are expected to commence during October 2014.

Further updates will be given as these operations progress.

The interests in the Wressle-1 well are:

Egdon Resources U.K. Limited25.00% (Operator)Celtique Energie Petroleum Limited33.33%Europa Oil & Gas Limited33.34%Union Jack Oil plc8.33%

Commenting on the results Mark Abbott, Managing Director of Egdon said:

"We are very encouraged by the preliminary evaluation of Wressle-1- our first exploration well in the East Midlands Basin - with interpretation of potential hydrocarbon pay of over 30 metres thickness (measured) in three discrete reservoir intervals. Our attention now moves to designing and delivering a testing programme for these intervals to determine the potential for a commercial discovery and we look forward to updating shareholders once these operations commence."

September 2, 2014

Planning approval for Nooks Farm drilling operations

Egdon Resources plc (AIM:EDR) is pleased to announce that it has been advised by Seven Star Natural Gas Ltd ("Seven Star"), the farm-in partner on Staffordshire licence PEDL141, that planning permission was granted by Staffordshire County Council for the re-entry and testing of the Nooks Farm-1A well at a planning committee meeting held on 3 February 2011.The Nooks Farm accumulation was discovered by Shell in 1982, with the Nooks Farm-1A well encountering gas bearing sandstones of Carboniferous age at a depth of 430m relative to sea level. The well achieved a maximum flow rate of 1.12 million cubic feet of gas per day on test. Estimates of the volumes of gas in place at Nooks Farm have been independently assessed as being in the range of 0.88 to 3.83 billion cubic feet of gas. It is proposed to re-enter the Nooks Farm-1A well and produce gas for on-site electricity generation with export via an underground cable to the National Grid.Under the terms of a Farm-in Agreement the drilling will be operated by Seven Star, a wholly owned subsidiary of UK Onshore Gas Limited.Egdon holds a 46% interest in the licence and will be carried through the planned drilling programme.Egdon will provide an update on the timing of operations in due course.The licence interests in PEDL141 are:Egdon Resources Plc – 46%Seven Star Natural Gas Limited – 50%Altwood Petroleum Limited – 4%Commenting on the news Egdon's Managing Director Mark Abbott said:

"We are pleased to receive consent for our planned re-entry of the Nooks Farm-1A gas discovery well and now look forward to Seven Star progressing plans for drilling and testing operations which we expect to be completed by September of this year. The proposal for low impact operations has enabled us to gain planning consent where previous operators have failed. Given a successful outcome to the operations we believe that Nooks Farm could make a contribution to revenues as early as 2012."
February 4, 2011

Acquisition of UK Onshore Licence Interests from Valhalla Oil and Gas UK Limited

Egdon Resources plc (AIM:EDR) is pleased to announce that it has reached agreement to acquire the entire interest of Valhalla Oil and Gas Limited (“Valhalla”) in two onshore UK Petroleum Exploration and Development Licences (“PEDLs”). The interests to be acquired comprise 50% of PEDL180 and 50% of PEDL181, which are located in the East Midlands Petroleum Province in the County of Lincolnshire. The consideration for the acquisition will be the grant to Valhalla of a Net Profit Interest (“NPI”) of 10% of the acquired interest in each of the licences. The NPI will be payable from any revenues after recovery of allowable exploration, development and production costs.PEDL180 and 181 were awarded in the 13th UK Landward Licensing Round in 2008 and are located adjacent to Egdon’s operated licences PEDL182 and PEDL241 where the Company holds a 50% interest. PEDL180, covering an area of 100 square kilometres, contains the Wressle Lead, mapped as extending into Egdon’s existing PEDL182 and located to the South East of the Crosby Warren producing oil field and between oil discoveries at Brigg and Broughton . PEDL181, located to the East of Egdon’s existing licences, is a large licence covering over 540 square kilometres and contains among other interesting structures the Caistor Lead, defined on 3D seismic data. Both licences are operated by Europa Oil and Gas and are subject to a drill or drop decision during 2011.The acquisition is subject to regulatory approval from the Department of Energy and Climate Change (DECC), and approval from the joint venture partner.Commenting on the acquisition Egdon’s Managing Director Mark Abbott said:

“The acquisition of these licences from Valhalla provides Egdon with access to further high potential acreage in one of our core exploration areas and reinforces our UK onshore growth strategy.“
January 28, 2011

Issue of Equity and Total Voting Rights

Egdon announces that pursuant to the exercise of options granted under the Company's Enterprise Management Incentive Scheme, 111,317 ordinary shares of 10 pence have been issued and allotted.Application has been made for the new ordinary shares to be admitted to trading on AIM and admission is expected to take place on 25 January 2011.The new ordinary shares will rank pari passu with the existing shares of the Company. Following this allotment, the total issued share capital of the Company will increase to 130,869,094 ordinary shares with an equal amount of voting rights and no shares held in treasury.

January 19, 2011

Board Change

Egdon Resources plc (AIM:EDR) announces that Andrew Hindle is to step down from his role as a non-executive Director of the Company with effect from 1 February 2011. Andrew, along with Mark Abbott, co-founded Egdon Resources in 1997 and has been a Director since this time. He was instrumental in the development of Egdon's gas storage business and became the CEO of Portland Gas plc (now InfraStrata plc) on its demerger from Egdon in January 2008. Andrew has been a non-executive Director of Egdon since that time.Commenting on Andrew's resignation, Philip Stephens, the Chairman of Egdon Resources said:

"On behalf of the Board I would like to offer my thanks to Andrew for his significant contribution to the development of Egdon over the last thirteen years. In his role as a non-executive Director over the past three years his contribution has always been constructive and informative. Andrew believes that now is the time for him to concentrate on InfraStrata and we wish him every success with these endeavours".
January 18, 2011

Oil in Markwells Wood-1 Well Confirmed

The Directors of Egdon Resources plc (AIM:EDR) are pleased to note the statement made today by Northern Petroleum plc ("Northern") the operator of the Markwells Wood-1 well in Sussex licence PEDL126, where Egdon's wholly owned subsidiary Egdon Resources U.K. Limited holds a 10% interest. The statement read as follows:“Northern announces that assessment of the logs has confirmed that the entire Great Oolite drilled reservoir sequence in Markwells Wood-1 is oil bearing above the Horndean Field oil water contact of 4446 feet sub-sea level (TVD SS), meeting the primary objective.The presence of mobile (“live”) oil was observed when the 30 feet of core was extracted from the well. Initial analysis of the logs indicate the well, which was deviated at an inclination of approximately 56 degrees through the Great Oolite, penetrated a gross hydrocarbon bearing interval of 275 feet with a calculated net reservoir of 192 feet with an average porosity of 13-14%, a typical porosity value for this reservoir in the nearby fields in the same formation. The top of the Great Oolite was encountered 51 feet low to prognosis and the Great Oolite vertical thickness was 146 feet compared to a prognosis of 240 feet.The analysis of the core is currently underway and that data will be integrated with the petrophysical evaluation and image logs to design the testing programmes.Testing to establish pressures and flow rates in the existing wellbore will take place when the required services and equipment have been contracted. Testing operations will be conducted utilising a work-over rig at a lower day rate cost. Analysis of the result will enable the determination of the oil reserve potential and will be the basis for production planning.”The Licence Partners in the Markwells Wood-1 well are:Northern Petroleum (GB) Limited (operator)50%Magellan Petroleum (UK) Limited40%Egdon Resources U.K. Limited10%

January 6, 2011

Live Oil in Markwells Wood-1 Core -Interim Statement

The Directors of Egdon Resources plc (AIM:EDR) note the interim statement made today by Northern Petroleum plc ("Northern") the operator of the Markwells Wood-1 well in Sussex licence PEDL126, where Egdon's wholly owned subsidiary Egdon Resources U.K. Limited holds a 10% interest. The statement read as follows."Northern announces that live oil has been encountered in the Markwells Wood-1 well in the primary reservoir target. A core was taken and the well drilled to 4584 feet sub-sea level, and various logging tools are being run to aid the assessment of results. There will be no further comment until log evaluation is complete.The Licence Partners in the Markwells Wood-1 well are:Northern Petroleum (GB) Limited (operator)50%Magellan Petroleum (UK) Limited40%Egdon Resources U.K. Limited10%

December 23, 2010

Issue of Equity and total voting rights

Egdon announces that pursuant to the exercise of options granted under the Company's Enterprise Management Incentive Scheme, 82,003 ordinary shares of 10 pence have been issued and allotted.Application has been made for the new ordinary shares to be admitted to trading on AIM and admission is expected to take place on 21 December 2010.The new ordinary shares will rank pari passu with the existing shares of the Company. Following this allotment, the total issued share capital of the Company will increase to 130,757,777 ordinary shares with an equal amount of voting rights and no shares held in treasury.

December 15, 2010

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