TIDMEDR
RNS Number : 5652F
Egdon Resources PLC
19 July 2021
19 July 2021
EGDON RESOURCES PLC
("Egdon" or "the Company")
Biscathorpe Carbon Intensity Study and Planning Update
Egdon Resources plc (AIM: EDR, "Egdon"), an established UK-based
exploration and production company focused on the
hydrocarbon-producing basins of the UK, is pleased to advise the
positive results of a Carbon Intensity study carried out on the
Biscathorpe project covered by Licence PEDL253 where the Company
holds a 35.80% operated interest.
The study was conducted on behalf of the PEDL253 Joint Venture
by Gaffney, Cline & Associates Limited ("GaffneyCline"), an
international energy consultancy. GaffneyCline's study delivered
the following conclusions:
-- The Biscathorpe project as currently envisaged has an AA
rating for Carbon Intensity for its potential long-term production
of oil using GaffneyCline's own rating system
-- The Carbon Intensity for the Biscathorpe project is
significantly lower than the current UK average and compared with
other onshore analogues
-- Once in production, GaffneyCline estimates that the
Biscathorpe project will have a Carbon Intensity of just 3.06 grams
of Carbon Dioxide equivalent per mega joule (gCO(2) Eq/MJ)
-- Potential exists to improve the Carbon Intensity to
1.49gCO(2) Eq/MJ through adoption of gas to grid optimisation
The Carbon Intensity of the Biscathorpe project was estimated by
GaffneyCline as a conceptual field development using the Oil
Production Greenhouse Gas Emissions Estimator (OPGEE) developed at
Stanford University. This was supplemented by reference to
GaffneyCline's proprietary Global field database together with
Biscathorpe specific field development assumptions. The results of
the study were benchmarked against other development analogues in
GaffneyCline's proprietary database. The study also provided
recommendations that could have a further impact on reducing
emissions sources (Figure 1).
Table 1 : Biscathorpe Project Carbon Intensity Rating (Source:
GaffneyCline, July 2021)
Carbon Intensity Range (gCO(2)
Eq/MJ)
Current Potential
--------- -------- ----------
AA <=5 3.06 1.49
--------- -------- ----------
A 5 - 7
--------- -------- ----------
B 7 - 11
--------- -------- ----------
C 11 - 20
--------- -------- ----------
D 20 - 30
--------- -------- ----------
E 30 - 50
--------- -------- ----------
F 50 - 70
--------- -------- ----------
G Over 70
--------- -------- ----------
Egdon can also advise that additional documentation was
submitted to Lincolnshire County Council in early July in response
to a Regulation 25 notice arising from the initial consultation on
the planning application for the Biscathorpe project. This
information will now be subject to a period of consultation before
the planning application goes before the Planning Committee,
currently anticipated to be in September/October 2021.
Mark Abbott, Managing Director of Egdon, commented:
"The results of GaffneyCline's independent modelling provides
strong evidence that a future development at Biscathorpe could
achieve a low carbon intensity rating (AA). The Climate Change
Committee has acknowledged that the UK will still be using fossil
fuels up to and beyond the UK's Net Zero carbon emissions target of
2050. It follows that the production of fossil fuels should be from
that which generates the lowest emissions footprint, which, like
Biscathorpe, are indigenous UK sources.
I am also pleased to confirm the submission of additional
information in support of our planning application for the
Biscathorpe project. This is expected to be considered by the
Planning Committee later in 2021.
Biscathorpe represents a material and financially robust
opportunity to secure an indigenous oil resource which would
generate local and regional economic benefits and have
environmental benefits through its lower carbon footprint when
compared to imported oil."
For further information please contact:
Egdon Resources plc
Mark Abbott, Martin Durham 01256 702 292
Buchanan
Ben Romney, Chris Judd 020 7466 5000
Nominated Adviser & Joint Broker - WH Ireland Limited
Chris Hardie, Lydia Zychowska 020 7220 1666
Joint Broker - VSA Capital Limited
Andrew Monk (Corporate Broking) 020 3005 5000
Andrew Raca (Corporate Finance)
Notes to Editors:
Egdon
Egdon Resources plc (LSE: EDR) is an established UK-based
exploration and production company focused on onshore exploration
and production in the hydrocarbon-producing basins of the UK.
Egdon holds interests in 39 licences in the UK and has an active
programme of exploration, appraisal and development within its
portfolio of oil and gas assets. Egdon is an approved operator in
the UK. Egdon was formed in 1997 and listed on AIM in December
2004.
GaffneyCline
GaffneyCline is an international energy consultancy, which has
been operating worldwide since 1962. GaffneyCline focuses solely on
the petroleum and energy industry, and specializes in the provision
of policy, strategy, technical and commercial assistance to
governments, financial institutions, and national and international
oil, gas and energy companies worldwide. The provision of Energy
Transition advice and Carbon Intensity Assessments have recently
been added as a core component of GaffneyCline's international
business ( see www.gaffneycline.com ).
Biscathorpe Highlights
-- PEDL253 is located within the proven hydrocarbon fairway of
the Humber Basin, on-trend with the Keddington oilfield which
produces oil from a Carboniferous Westphalian aged reservoir
-- Biscathorpe-2 (EDR: 35.8%) drilled to a TD of 2133 m in
February 2019 and suspended for potential side-track
-- Oil bearing Dinantian Carbonate reservoir of 68 metres has
been confirmed by independent petrophysical analysis and
geochemical analyses of cuttings samples carried out by APT
confirms the presence of 33-34 API gravity oil
-- Dinantian carbonate oil play has gross Mean STOIIP of 24.3
million barrels of oil (mmbo) with an upside of case of 36 mmbo
-- Evidence from reprocessed 3-D seismic for a thickened
Westphalian Sandstone reservoir interval is apparent with Gross
Mean Prospective Resources associated with the Westphalian target
total 3.95 mmbo with an upside case of 6.69 mmbo and, where
economic modelling of the Westphalian target alone, yields
break-even full cycle economics estimated at US$18.07 per barrel
and a gross NPV(10) valuation of GBP55.6 million
-- Detailed technical evaluation by the PEDL253 Joint Venture
has identified an accessible drilling target on the Biscathorpe
Prospect and plans are advanced for drilling B-2Z during H2 2021
that will allow both the Dinantian Carbonate and Basal Westphalian
Sandstone targets to be tested
-- Planning application submitted during February 2021 for
side-track drilling, testing and long-term production of the
proposed B-2Z appraisal well, subject to planning consent
-- Additional information (Regulation 25) was submitted in early
July in support of the planning application
-- Planning application is currently expected to go to
Lincolnshire County Council's planning committee in
September/October 2021
Qualified Person Review
In accordance with the AIM Rules - Note for Mining and Oil and
Gas Companies, this release has been reviewed by Mark Abbott,
Managing Director of Egdon, who is a geoscientist with over 30
years' experience and is a member of the Petroleum Exploration
Society of Great Britain and a Fellow of the Geological Society. Mr
Abbott has consented to the inclusion of the technical information
in this release in the form and context in which it appears.
Evaluation of hydrocarbon volumes has been assessed in
accordance with 2007 Petroleum Resources Management System prepared
by the Oil and Gas Reserves Committee of the Society of Petroleum
Engineers (SPE) and reviewed and jointly sponsored by the World
Petroleum Council (WPC), the American Association of Petroleum
Geologists (AAPG) and the Society of Petroleum Evaluation Engineers
(SPEE).
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). Upon the
publication of this announcement via Regulatory Information Service
("RIS"), this inside information is now considered to be in the
public domain.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
UPDFZGMNDVFGMZM
(END) Dow Jones Newswires
July 19, 2021 02:00 ET (06:00 GMT)
Egdon Resources (LSE:EDR)
Gráfica de Acción Histórica
De Abr 2024 a May 2024
Egdon Resources (LSE:EDR)
Gráfica de Acción Histórica
De May 2023 a May 2024