Resumption of production at Lidsey and Brockham

RNS Number : 3651J

Angus Energy PLC

29 March 2018

 

                                                                                                           8.00am 29 March 2018

Angus Energy Plc

("Angus Energy" or the "Company")

Angus Energy Resumes Conventional Production

From Lidsey And Brockham Oil Fields

Angus Energy Plc, a conventional oil and gas production and development company, is pleased to announce the Company has resumed continuous production from the Portland Reservoir of the BR-X2Y well at Brockham and the Great Oolite Reservoir at Lidsey from wells X1 and X2.

The three wells in continuous production have an aggregate flow rate of 212bopd.  A natural decline of the production rates is expected over time. Flow rates from the Lidsey Oil field are currently 191bopd, a three-fold increase over its initial flow rates as reported in the Company's RNS, 17 November 2017 for both Lidsey wells.  Brockham Oil Field has resumed production at 21 bopd. The Company expects this flow rate to increase to roughly 35 bopd within approximately 7 days, once initial water slugging has stopped.   The Company will also resume routine exportation of all production this quarter.       

All operations are performed through conventional production. There will be no hydraulic fracturing or "fracking".

The completion of the Company's programme at Lidsey, to optimise pressure differentials and maximize production flow rates, was marginally delayed by factors commonly associated with oil and gas production - including a lack of new and additive equipment in the United Kingdom. Given this scarcity, the Company has taken all necessary precautions to ensure redundancy in the newly installed pump and extraction system.

Paul Vonk, Managing Director, said:

"Resuming production is an important milestone for our Company. These production levels contribute meaningful cash flow to operations and increases our financial flexibility. This is only the first step in our business plan to increase yield from our existing assets. We remain focused on creating long run value for our shareholders as we grow our company.

This programme was successful because our team maintained the highest standards, the most important of all being safe operations."

BR-X4 Update

Subsequent to the RNS of 25 October 2017, as Operator of the license, the Company has submitted without prejudice, the normalisation application for the continued surface activities of the production plant required for well BR-X4 (and its inclusive component BR-X4Z).

Given the Surrey County Council's ("SCC") now published administrative schedule, the Board of Directors in keeping with its earlier guidance, has determined it is in the best interests of all stakeholders to wait for the SCC to complete its process. An update will be provided to the market in due course.

All other prior guidance for Brockham Oil Field remains unchanged.

END.

Further information is available on the company website: www.angusenergy.co.uk

Qualified Person's Statement:

Chris de Goey, a Non-Executive Director of the Company, who has over 20 years of relevant experience in the oil and gas industry, has approved the information contained in this announcement. Mr de Goey is a member of the Petroleum Exploration Society of Great Britain and the Society of Petroleum Engineers.

About Angus Energy plc.

Angus Energy plc. is a UK AIM quoted independent onshore oil and gas production and development company focused on leveraging its expertise to advance its portfolio of UK assets as well as acquire, manage and monetise select projects. Angus Energy majority owns and operates conventional oil production fields at Brockham (PL 235) and Lidsey (PL 241) and has a 12.5% interest in the Holmwood licence (PEDL143) along with an agreement to acquire a 25% interest in the Balcombe Licence (PEDL244).

Enquiries:

Angus Energy Plc
Jonathan Tidswell-Pretorius / Paul Vonk	Tel: [phone]
Beaumont Cornish (NOMAD)
James Biddle/ Roland Cornish	Tel: [phone]
Optiva Securities Limited (BROKER)
Jeremy King/ Ed McDermott	Tel: [phone]
Yellow Jersey
Tim Thompson	Tel: [phone]

 

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