AIM-listed UK Oil & Gas (UKOG) has announced that, further to the Company's RNS of 10 February 2025, a new Reserves Report, carried out for the Horndean field operator (Star Energy Group plc), has assessed that the field's remaining reserves have increased by up to 62% compared to the same period one year ago. UKOG's wholly owned subsidiary UKOG GB holds a 10% non-operated interest in Horndean.
The Report's assessed gross reserves as of 31st December 2024 and the reserve increase versus 31st December 2023, are summarised below:
- A 62% increase in proven (1P) reserves to 1.5 million barrels ("mmbbl", UKOG net 0.150 mmbbl)
- A 55% increase in proven plus probable (2P) reserves to 1.65 mmbbl (UKOG net 0.165 mmbbl)
- A 53% increase in proven plus probable plus possible (3P) reserves to 1.82 mmbbl (UKOG net 0.182 mmbbl)
- The assessed 2P reserve increase equates to 12 times the 2024 field production of 49,402 bbl.
The increase in reserves is a direct result of increased field performance via the combination of recent well workovers and the prior installation of new electric pumps in mid-2023 (see RNS of 28th June 2024).
The Report was prepared in accordance with the Petroleum Resources Management System approved by the Society of Petroleum Engineers.
Horndean reserves and contingent resources as of 31st December 2024 are summarised in tables 1 and 2 below:
Table 1: Horndean Reserves as of 31/12/2024
|
Horndean |
Full Field (100%)* |
UKOG Net (10%) |
||||
|
PRMS Reserves Category |
1P |
2P |
3P |
1P |
2P |
3P |
|
Recoverable oil (mmbbl) |
1.50 |
1.65 |
1.82 |
0.15 |
0.17 |
0.18 |
Table 2: Horndean Contingent Resources as of 31/12/2024
|
Horndean |
Full Field (100%)* |
UKOG Net (10%) |
||||
|
PRMS Contingent Resource Category |
1C |
2C |
3C |
1C |
2C |
3C |
|
Recoverable oil (mmbbl) |
0.18 |
0.74 |
1.23 |
0.02 |
0.07 |
0.12 |
Note:* As assessed for the operator Star Energy by DeGolyer & MacNaughton
Stephen Sanderson UKOG's Chief Executive commented:
'We are delighted that the Horndean field's materially increased performance has now been fully reflected in an equally material increase in assessed reserves. The resultant increased asset value, even at current Brent prices, is most welcome.'
Source: UKOG
