Uk Oil & Gas Share Discussion Threads

[moneymunch] 22/7/2016 07:02

Acquisition of Further Interest in Horse Hill-1
RNS Number : 7976E
UK Oil & Gas Investments PLC
22 July 2016


UK Oil & Gas Investments PLC

("UKOG" or the "Company")



Acquisition of Further Interest in Horse Hill-1 Oil Discovery and Licences, Weald Basin, UK



UK Oil & Gas Investments PLC (London AIM and ISDX: UKOG) announces that it has acquired the entire 3.9% interest of Flowermay Limited ("Flowermay") in onshore Weald Basin licences PEDL137 and PEDL246 ("the Licences"). The Company now holds a 31.2% total interest in the Licences.



The Licences, covering an area of 55 square miles north of Gatwick Airport, contain the Horse Hill-1 ("HH-1") Portland and Kimmeridge Limestone oil discoveries. As previously reported on 21 March, HH-1 flow tested at a significant "North Sea-like" commercial aggregate stable dry oil rate of 1,688 barrels of oil per day. Regulatory permissions are being sought for a significant long-term production testing and appraisal programme of the productive Kimmeridge Limestones and Portland oil-bearing reservoirs.



Transaction Summary

For a total consideration of £1 million, the Company will receive a 3.9% beneficial interest in the Licences via the purchase of Flowermay's remaining 6% shareholding in Horse Hill Developments Ltd ("HHDL"). The total Consideration, with an effective date of 21 July 2016, is comprised of £150,000 payable in cash and £850,000 in the form of the issue of new ordinary shares in UKOG ("Consideration Shares"). The Consideration Shares will be calculated on the 10-day volume weighted average price prior to the completion of the transaction. Completion of the acquisition is conditional on the consent of HHDL. A further announcement will be made on completion.



HHDL and the Company's Interest in the Licences

HHDL is a special purpose vehicle, which owns a 65% working interest and operatorship of the Licences. UKOG now owns a 48% beneficial shareholding in HHDL, which equates to a 31.2% net working interest in the Licences. The remaining 35% interest in the Licences is held by Magellan Petroleum (UK) Limited.

Stephen Sanderson, UKOG's Executive Chairman, commented:

"This acquisition brings our overall interest in the Horse Hill project to 31.2%, a very material interest in a project with multiple oil bearing reservoirs that have been proven to flow at high initial commercial rates. The acquisition is a logical fit within our ongoing strategy to consolidate and expand our licence position in the new and potentially significant Kimmeridge Limestone oil province. We now look forward to the conclusion of the regulatory permit application cycle at Horse Hill and to resuming extended well testing and appraisal drilling at the site."

[moneymunch] 21/7/2016 23:35

pps SS has predicted that the Weald will produce between 140,000 to 280,000bopd.

I make that TRANSFORMATIONAL in anyone's book!!! Gla holders.....i reckon that's enough to get any MAJOR interested that you can think of......;-))))

[moneymunch] 21/7/2016 23:28

Local community to share Horse Hill oil revenues, UKOG’s boss promises
By Ruth Hayhurst on July 21, 2016 • ( 1 Comment )

Stephen Sanderson2

The head of one of the companies behind the Horse Hill oil well said today he was committed to giving local people a share of any production revenues.

Stephen Sanderson, executive chairman of UK Oil and Gas Investments, suggested 1% could go to landowners and the local community.

He was speaking at an exhibition about the company’s plans for more drilling and testing at the well nick-named the Gatwick Gusher.

“I am committed to distributing some of the revenue of production to the local community. I think that is only right and proper.”

“I think a lot of people can see the benefit to the UK from oil and gas – a boost to the economic, revenue for the exchequer, jobs and energy security.But if they are impacted, they ask what is in it for me?”

“If we produce oil I think it is right that the people actually benefit.”

Flow testing at Horse Hill in February and March attracted protests by opponents of the operation.

Asked by DrillOrDrop whether the offer of revenues would help make people more understanding of the company’s work, Mr Sanderson said:

“I don’t know. If it were me, I would sooner have the benefit than not”.

Asked how the payment scheme would work, Mr Sanderson said this had not been decided. He said:

“It would be a kind of wealth fund or trust, managed and distributed to the local community”.

It would, he said, be “something along the lines” of the community benefit scheme for shale gas. “We would utilise that. I might need to be tweaked.”

“We are talking hypothetically”;, he said. But added that the conventional and unconventional oil and gas industries should have the same scheme.

But he talked about a “royalty for the landowner affected” and benefits for the “wider community”.

The shale gas community benefit scheme, being developed by the industry body, UK Onshore Oil and Gas, has said it will share 1% of revenues from production.

According to a community engagement charter, this would be allocated approximately 2/3 to the local community and 1/3 paid at county level. It also promises £100,000 for every shale exploration site. UKOG has not said it will pay at the exploration stage.

Initial tests suggested the flow of oil in the Kimmeridge layers were historically high for an onshore. Mr Sanderson described the rates as equivalent to those found in the North Sea.

He has predicted the Weald could provide supply 10-20% of UK oil consumption, currently running at 1.4m barrels a day. A study by EY predicted this could be produced from up to 100 wells across the region.

New drilling and testing plans announced for Horse Hill

[beebong1] 21/7/2016 22:35

The head of one of the companies behind the Horse Hill oil well said today he was committed to giving local people a share of any production revenues.

Stephen Sanderson, executive chairman of UK Oil and Gas Investments, suggested 1% could go to landowners and the local community.

Full story here;

drillordrop.com/2016/07/21/new-drilling-and-testing-plans-for-gatwick-gusher/

[beebong1] 21/7/2016 22:33

bambuser.com/v/6378070

They wouldn't let them in lol

A planning application, for a period of five years, is expected to be submitted to Surrey County Council in mid-September, the company said. An application for an environmental permit would also be submitted around the same time to the Environment Agency.

Full story here;

drillordrop.com/2016/07/21/new-drilling-and-testing-plans-for-gatwick-gusher/

[gismo] 21/7/2016 21:58

Evening moneymunch keep up the good work! Many appreciate it me included

[beebong1] 21/7/2016 19:21

Perhaps I should advertise when I'm being sarcastic!!! One born every minute. Didn't take long for the fish to bite ;o)

[moneymunch] 21/7/2016 18:14

Ps Mpet still hold 20mln plus Ukog shares and will want the share price as high as possible come Mid December. Gla holders On and Up!!! ;-)

[moneymunch] 21/7/2016 18:02

Lol beewrong, search the Internet for the answer then, you moronic idiot!!!

[beebong1] 21/7/2016 17:42

Anyone know how to add graphics to a post? I'm thinking of doing an idiots guide for morons to search for answers on the internet and on the bb's.

[moneymunch] 21/7/2016 17:26

I stand corrected TU, Mpet hold 20m plus Ukog shares and Celtique 120m....gl ;-)

[theuniversal] 21/7/2016 17:00

Money munch didnt mpet pay celtique in shares around 50 million, plus some cash..1.8 million was the total half in shares etc..

[moneymunch] 21/7/2016 15:28

The long term pattern of the chart certainly suggests that another significant rise could be coming imho....Every day for weeks now, buys have out numbered sells, as shares are accumulated cheaply, and so if this trend continues we should see some uplift to reflect fair value of the potential transformational prospects ahead. Gl :-)

[wisteria2] 21/7/2016 15:19

One minute the chart looks dire!! the next.... chart says eff all ! GL anyway

[rayrac] 21/7/2016 15:11

Had them for yonks histeria2. But the chart says eff all, other than it has fallen a heck of a lot! Haven't bought or sold a share for at least a year....just staying...hit or bust🙏ㇿ7;🐴👹☔️411;😂

[wisteria2] 21/7/2016 14:40

Why does the chart look dire? guess you must have got yours (shares) on the top of a spike..... those who purchased under a penny are still quids in!! and the chart looks poised for a bounce to the up side...
GLA HOLDERS

[rayrac] 21/7/2016 14:07

Just need cash in large amounts and a means then of getting it to market....over hallowed ground!

[rayrac] 21/7/2016 14:04

The chart looks dire! But surely UKOG wouldn't tell porkies about what they have, supposedly, found in the ground?

[moneymunch] 21/7/2016 11:35

Unless a Major makes an early move football, Mpet's 35% is up for grabs imho and so as well as needing cash it's in their interest to get Ukog's share price moving higher as they hold 71m Ukog shares from the sale of Pedl234 which can be traded mid December. Good post. :-)

[football] 21/7/2016 11:25

FunkmasterP12 I think most people that have bought here realise it is a jam tomorrow, high-risk share or a bit of a punt share given that most that have bought shares are willing to take that risk and be sitting on quite considerable paper percentage losses knowing that if and it's a very big if or when news comes out that the oilfields are commercial or viable or even a bit comes in for the company that percent losses on paper will disappear in a fraction of a second and this will not open up the next day 10 or 20% up but in many multiples of that so while you carry on bashing or as you say warning mug punters about buying this share and moneymunch carries on ramping it 24/7 nothing's gonna change until the black stuff starts to come out of the ground


avg 1.52

[moneymunch] 21/7/2016 10:28

Lol funky, I'm here for the long term and have continued accumulating at this current low, my last top up was on Monday.....any downside from here is negligible, but the upside potential is transformational as HH and the Weald Oil Basin is developed.....it's all about how much oil is recoverable and so far the data suggests that the volumes will be significant and therfore commercial.....gla holders......a very attractive risk reward opportunity from 1.4p ;-)