Business
UK 14th Onshore Oil and Gas Licensing Final Awards
UK 14th Onshore Oil and Gas Licensing Final Awards.
About this update from Union Jack Oil Plc
[{"type":"text","content":"\n \nRNS Number : 4255L Union Jack Oil PLC 03 October 2016 \n\n \nUNION JACK OIL PLC\n(AIM: UJO)\nUK 14TH Onshore Oil and Gas Licensing Final Awards\n \nUnion Jack Oil plc (\"Union Jack\" or the \"Company\"), an onshore oil and gas production and development company with a focus on production, development and investment in the United Kingdom onshore hydrocarbon sector, note that the Oil & Gas Authority (\"OGA\") has formally issued Egdon Resources plc (\"Egdon\"), Petroleum Exploration and Development Licence (\"PEDL\") 339 arising from the UK 14th Onshore Oil and Gas Licensing Round.\nPEDL339 is located in the East Midlands Petroleum Province and contains a portion of the Louth Prospect.\nAs part of a farm-out agreement announced in July 2015 Egdon will transfer a 10% interest in PEDL339 to Union Jack for nil consideration, subject to OGA consent.\nUnder the terms of the farm out agreement the Company has agreed to pay 20% of the costs of the Louth-1 conventional exploration well to earn a 10% economic interest.\nThe Louth Prospect is located mostly within PEDL005(R) and extends into PEDL339. Union Jack holds a 10% interest in PEDL005(R) which also contains the producing Keddington oilfield.\nLocated on the margins of the Humber Basin, the prospect is defined on re-processed 3D seismic data and is estimated by the operator, Egdon to contain Stock Tank Oil Initially In Place (\"STOOIP\") of 5.5 million barrels of oil and gross mean Prospective Resources of 1.4 million barrels of oil with an attractive chance of success of 37%.\nA well to test this prospect could be drilled in late 2017 subject to partner approval and receipt of planning and other consents.\nThe interests in PEDL339 post transfer will be:\nEgdon Resources plc (Operator) 65%\nTerrain Energy Limited ...