- UK Oil & Gas said it planned to drill up to nine production, appraisal and exploration wells during 2019 and 2020.

The decision came after successful production testing and declaration of Portland commercial viability at its Horse Hill oil field, in which the company held a 46.7% interest.

The plan's initial focus was to move Horse Hill's ongoing test-based oil production into permanent production by the end of 2019 via two new horizontal production wells.

In 2020, the plan aimed to convert around 15.6m barrels of the company's net discovered contingent resources into reserves.

It would involve drill and long-term testing of appraisal wells at the Arreton, Goldey Bridge and Broadford Bridge oil discoveries.

Further Portland and Kimmeridge exploration wells at Arreton South and at a third site were also planned later in 2020.

'If successful, this comprehensive plan aims to add significant value to the company and shareholders via transforming UKOG from an exploration and appraisal company into a fully-fledged producing oil company by the end of 2019,' chief executive Stephen Sanderson said.

'By attaining the stated production targets, which have been independently verified as viable and realistic by Xodus, the resultant success case daily 2019 production could establish Horse Hill as the largest single oil producing field in the Weald Basin.'

'In addition, during 2020, two potentially high-impact appraisal wells and production tests at Arreton in the Isle of Wight, Godley Bridge in PEDL234 and the Arreton South exploration well, are planned to test the largest identified undeveloped oil and gas assets in the UK onshore.'

At 1:06pm: [LON:UKOG] UK Oil Gas Investments Plc share price was +0.1p at 1.28p

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