AIM-listed United Oil & Gas, the oil and gas company with a high impact exploration asset in Jamaica and a development asset in the UK has announced the following update in relation to Waddock Cross oil field in which United has 26.25% working interest.
Highlights
- 5-year extension to the PL090 Licence that contains the Waddock Cross oil field has been granted.
- 57 million barrels of Stock Tank Oil Initially in Place.
- Potential for the oil field to produce 500 to 800 barrels of oil per day (gross) with approximately 1 million barrels of gross recoverable oil when redeveloped with a new horizontal well.
Waddock Cross Licence Extension
United is pleased to announce that the North Sea Transition Authority ('NSTA') have signed a Deed of Variation relating to licence PL090 (which contains the Waddock Cross oil field) with the effect of extending the term of the Licence for another 5 years through to 31 March 2029.
As previously reported, Egdon Resources as the licence operator, previously coordinated the completion of reservoir modelling work on Waddock Cross. From this work, the Operator estimates that Waddock Cross contains a significant Stock Tank Oil Initially in Place (STOIIP) volume of 57 million barrels of oil, and that a new horizontal well could yield commercial oil production of 500-800 barrels of oil per day (gross) and c. 1 million barrels (gross) of gross recoverable oil.
Egdon Resources is progressing plans for redeveloping Waddock Cross, including advancing the required planning permissions and permit application.
United Chief Executive Officer, Brian Larkin commented:
'As a company our near-term focus is on advancing the Walton Morant Licence in Jamaica and the Waddock Cross oil field in the UK, where we hold a 26.25% working interest.
We are delighted to announce that the North Sea Transition Authority (NSTA) has signed a Deed of Variation extending the term of Licence PL090, which contains the Waddock Cross oil field, for another 5 years through to 31 March 2029. This is a significant milestone for us, and we are excited about the low risk, high margin redevelopment opportunity it presents.
We believe that a new horizontal well at Waddock Cross could yield commercial oil production of 500-800 barrels per day (gross) and approximately 1 million barrels (gross) recovery. We are looking forward to working with the Operator as plans to restart production at Waddock Cross are actively progressed.'
Source: United Oil & Gas
