Independent Report and Rig Booked, Brockham UK
28 February, 2014
UK Oil & Gas Investments PLC
("UKOG" or the "Company")
Independent Report, Brockham Oil Field, UK
Rig booked for Brockham side track well.
UKOG (AIM: UKOG) today announces the independent evaluation report by RPS Energy Consultants Limited ("RPS") of the summary of in place hydrocarbon volumes on the Brockham Field in the Weald Basin, UK for the Field's 80% owner and operator Angus Energy Ltd ("Angus Energy"). UKOG has an interest in the Brockham Field by way of a 6% ownership in UK conventional oil producer Angus Energy Limited ("Angus Energy").
The gross in-place volumes for the Brockham Field have been calculated at:
· P90 (Low Case) - 1.89 million barrels ("MMstb")
· P50 (Best Case) - 3.62 MMstb
· P10 (High Case) - 5.83 MMstb
Angus Energy commissioned RPS Energy to prepare an updated independent evaluation of the Brockham Field to assist with preparation for the proposed new Brockham side track well scheduled to be spudded in about one month's time. The PW Wells Services 475 rig has been contracted for the side track well which is scheduled to mobilise to site in late March 2014.
David Lenigas, the Company's Chairman, commented:
"The Company looks forward to shortly the drilling of the side track well at Brockham, which is targeted to intersect the crestal part of the structure and is planned to be completed as a production well."
Full extract from the RPS Report date 27 February 2014:
EVALUATION OF BROCKHAM FIELD, ONSHORE UK
In response to Angus Energy Limited's request of February 2014and the Letter of Engagement dated 5th February 2014 with Angus Energy Limited (the "Agreement"), RPS Energy Consultants Limited ("RPS") is currently undertaking and will shortly complete an independent evaluation of liquid hydrocarbons in Licence PL235 in the United Kingdom (the "Properties") in which Angus Energy Limited ("Angus") has an interest.
The evaluation is based on data and information available up to February 28th 2014.
The Services have been performed by an RPS team of professional petroleum engineers, geoscientists and economists and is based on the Operator's data, supplied through Angus. All Reserves and Resources definitions and estimates are based on the 2007 SPE/AAPG/WPC/SPEE Petroleum Resource Management System ("PRMS").
Our approach has been to review the Operator's technical interpretation of their base case geoscience and engineering data for the field for reasonableness and to review the ranges of uncertainty for each parameter around this base case in order to estimate a range of petroleum initially in place and recoverable.
QUALIFICATIONS
RPS is an independent consultancy specialising in petroleum reservoir evaluation and economic analysis. The provision of professional services has been solely on a fee basis. Mr Gordon Taylor, Director, Geoscience for RPS Energy, has supervised the evaluation. Mr Taylor is a Chartered Geologist and Chartered Engineer with over 30 years' experience in upstream oil and gas.
Other RPS employees involved in this work hold at least a Master's degree in geology, geophysics, petroleum engineering or a related subject or have at least five years of relevant experience in the practice of geology, geophysics or petroleum engineering.
BASIS OF OPINION
The results presented herein reflects our informed judgement based on accepted standards of professional investigation, but is subject to generally recognised uncertainties associated with the interpretation of geological, geophysical and engineering data. The Services have been conducted within our understanding of petroleum legislation, taxation and other regulations that currently apply to these interests. However, RPS is not in a position to attest to the property title, financial interest relationships or encumbrances related to the properties.
Our estimates of resources are based on the data set available to RPS, and provided by Angus. We have accepted, without independent verification, the accuracy and completeness of these data.
The results represent RPS' best professional judgement and should not be considered a guarantee or prediction of results. It should be understood that any evaluation, particularly one involving exploration and future petroleum developments, may be subject to significant variations over short periods of time as new information becomes available. As stated in the Agreement, RPS cannot and does not guarantee the accuracy or correctness of any interpretation made by it of any of the data, documentation and information provided by the Company or others in accordance with the Agreement. The Consultant does not warrant or guarantee, through the Services, this report or otherwise, any geological or commercial outcome.
Except with permission from RPS, this letter may only be used in accordance with the Agreement. It must not be reproduced or redistributed, in whole or in part, to any other person than the addressees or published, in whole or in part, for any purpose without the express written consent of RPS.
SUMMARY OF IN PLACE HYDROCARBON VOLUMES
Volumes of hydrocarbons initially in place in the Brockham field that have been estimated by RPS are summarised in Table 1.
|
Field |
In-Place Volumes (MMstb) |
|||||
|
Gross |
Net Angus Working Interest 1 |
|||||
|
Low (P90) |
Best (P50) |
High (P10) |
Low (P90) |
Best (P50) |
High (P10) |
|
|
Brockham Field 1 |
1.89 |
3.62 |
5.83 |
1.51 |
2.90 |
4.66 |
|
1. The Brockham field lies in Licence PL235. Angus Energy working interest in Licence PL235 is 80% |
||||||
|
Note: To date the well performance on the Brockham field has been disappointing and suggests a low ultimate recovery (5-10%) from this in place volume. Approximately 214,790 barrels of oil have been produced from the field as at end September 2013. Remaining reserves attributable to the field will be included in a CPR to be completed by RPS during March 2014. |
||||||
Table 1: Brockham Field In Place Volumes
Glossary
|
MMstb |
million stock tank barrels of oil |
|
oil-in-place |
the volume of oil estimated to have been initially in place |
|
P90 |
There is estimated to be at least a 90% probability (P90) that the quantities in place equal or exceed this low estimate |
|
P50 |
There is estimated to be at least a 50% probability (P50) that the quantities in place equal or exceed this best estimate |
|
P10 |
There is estimated to be at least a 10% probability (P10) that the quantities in place equal or exceed this high estimate |
|
|
|
Note:
RPS have read the above announcement and consented to the inclusion of and reference to their letter.
-END-
Enquiries:
|
UK Oil& Gas Investments PLC |
Tel: 020 7440 0640 |
|
David Lenigas / Donald Strang |
|
|
Beaumont Cornish (Nominated Adviser) |
Tel: 020 7628 3396 |
|
Roland Cornish / Michael Cornish / Emily Staples |
|
|
XCAP Securities PLC (Corporate Broker) |
Tel: 020 7101 7070 |
|
David Lawman Square 1 Consulting (Public Relations) David Bick/Mark Longson |
Tel: 020 7929 5599 |
This information is provided by RNS
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