UK Oil & Gas (UKOG) has completed a farm-in with Warwick Energy Exploration and Production to acquire a further 10% UK onshore Weald Basin licence PEDL143.
This is the second farm-in deal in the Holmwood Prospect for UKOG, increasing its stake to 30%.
Chief executive Stephen Sanderson said: “We are delighted to follow up our very recent news on the OGA’s consent to the Egdon PEDL143 farm-in with the acquisition of a further interest in the Licence from Warwick. These two transactions now provide the Company with a material 30% overall participating interest in the Holmwood exploration well and Licence.
“With this acquisition the Holmwood well now provides an excellent low to moderate risk opportunity for UKOG to access a mean estimated 1.68 million barrels of net conventional prospective resources together with the opportunity to confirm the Kimmeridge tight oil in place within the Licence as calculated by Nutech in their recent study of the Company’s licences and wider Weald.
“We look forward to working with the partnership and to drilling the Holmwood-1 well next winter.”