StockMarketWire.com - Europa Oil & Gas's licence in the Weald Basin, Surrey - PEDL 143 - has been extended for two years until 1 October 2018.

Europa says this will enable it to drill the conventional Holmwood prospect, which has estimated gross mean unrisked prospective resources of 5.6 million barrels of oil (mmbo) in Portlandian and Corallian sandstones and a P90 P10 range of resources of 1 to 11mmbo, in late 2016 / H1 2017, subject to funding.

PEDL143 is located in an area of the Weald Basin where 30 million barrels have been produced to date from 14 oil and gas fields.

The Holmwood prospect is located 5km to the south of the Brockham oil field, which was discovered by BP in 1987 and today produces oil from Portlandian sandstone reservoirs.

Holmwood is also 12km to the west of the Horse Hill-1 well in PEDL137 where UK Oil & Gas Investments PLC (UKOG) has reported production at a combined average stable rate of over 1,688 bopd from Upper and Lower Kimmeridge Limestone reservoirs and Upper Portland sandstone reservoir during flow tests.

Chief executive Hugh Mackay said: "The licence extension was necessary to drill the 5.6mmbo Holmwood prospect in late 2016 / H1 2017. We are looking forward to drilling this conventional prospect which we rate as having a one in three chance of success, as we focus on further growing our UK onshore production, which is on track to more than double to in excess of 250 bopd in H2 2016 when the Wressle discovery comes on stream."








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