Business
Update on Horse Hill Prospect
Update on Horse Hill Prospect.
About this update from Corcel Plc
[{"type":"text","content":"\n \nRNS Number : 4223O Regency Mines PLC 06 August 2014 \n \n\n6 August 2014\n \nRegency Mines PLC\n(\"Regency\" or the \"Company\")\n \nUpdate on Horse Hill Prospect, UK.\nEnvironment Agency Permits Granted\n \n \nFurther to the announcements of 11 July 2014 and 21 July 2014, Regency (AIM:RGM) announces that the operator of the Horse Hill U.K. onshore oil and gas exploration project, Horse Hill Developments Ltd (\"HHDL\"), has been granted final approvals from the UK Environment Agency to proceed with the drilling of the Horse Hill -1 well at Horse Hill in Surrey. \n \nRegency has a binding Heads of Agreement in place with HHDL giving rights to ownership of a direct 5% interest in HHDL, a special purpose company that has operatorship of the Horse Hill-1 well on the Horse Hill Oil Field in the Weald Basin and upon completion of the Horse Hill-1 well, will own a 65% participating interest. Regency also owns 12.56% of Alba Mineral Resources plc (AIM:ALBA)(\"Alba\") that has an identical Heads of Agreement in place with HHDL also giving rights to a 5% interest in HHDL.\n \nAndrew Bell, the Company's Chairman, commented:\n \n\"Several days in site construction works have been lost due to weather as the heavy clays present at surface in the license area do not drain well after heavy rainfall. The concrete collar is on site ready for installation and spudding of the well is expected shortly, when a further announcement will be made.\n \nThis is, we believe, one of the largest if not the largest U.K. onshore prospect to have been drilled in recent decades. The potential impact of success would be considerable. To clarify one point, we are investing in a vertical conventional well like other producing wells nearby and we are not investing in a fracturing project.\"\n \nThe participants in the Horse Hill-1 well are HHDL (Operator) with a 65% working interest and Magellan Petroleum Corporation with a 35% interest. Co-investors in HHDL besides Regency include Alba, include Angus Energy Ltd, Solo Oil Plc (AIM:SOLO), Doriemus Plc (AIM:DOR), Stellar Resources Plc (AIM:STG) and UK Oil & Gas Investments Plc (AIM:UKOG).\n \nNote\n \nThe total consideration payable by the Company for the 5% interest in HHDL is £300,000. An initial non-refundable deposit of £10,000 was paid on signi...