REG - United Oil & Gas PLC - ASV-1X exploration well test update

United Oil & GasAnnouncement

06/07/2022 07:00

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RNS Number : 4365R  United Oil & Gas PLC  06 July 2022

United Oil & Gas PLC / Index: AIM / Epic: UOG / Sector: Oil & Gas

6 July 2022

United Oil and Gas Plc

("United" "the Group" or the "Company")

 

ASV-1X exploration well test update

 

United Oil & Gas Plc (AIM: "UOG"),  the growing oil and gas company with
a portfolio of production, development, exploration and appraisal assets
announces an update on the  ASV-1X exploration well in the Abu Sennan
licence, onshore Egypt.

 

The ASV-1X well was drilled safely and under-budget to a total depth of 3,496
metres. It encountered both primary and secondary reservoirs, and as announced
on 30 May 2022 a comprehensive testing programme was initiated. The testing
programme is still underway, but after over a week of testing with a sucker
rod pump installed, no hydrocarbons have yet been recovered. The Operator and
partners will continue to review the test results and potential future options
and costs before a final decision is made on the forward plan for the well.

 

Data gathered from this well has further improved our understanding of the
subsurface in the Abu Sennan licence. Evidence for the migration of
hydrocarbons observed in the ASV-1X structure has helped de-risk this element
of the petroleum system in this area of the licence and will assist in
optimising future well targets.

 

The 2022 Abu Sennan drilling campaign is continuing with the AJ-14 development
well, with the announcement of the spud on 21 June 2022.  Two further wells
are planned for this year, including an ASH development well, and the ASF-1X
exploration well. The ASF-1X well is located in the south-west of the Abu
Sennan licence, approximately 30km away from the ASV-1X well, and the
prospectivity of ASF-1X well is not impacted by the results of the ASV-1X
well.

 

United holds a 22% working interest in the Licence, which is operated by
Kuwait Energy Egypt.

 

Brian Larkin, CEO commented:

"While the failure to flow hydrocarbons from ASV-1X to date is not
encouraging, the data gathered from the well test and drilling results will
feed into optimising future drilling targets across the licence.

"We are now continuing with our active and fully funded Egypt drilling
programme, with the  AJ-14 development well which spud end-June and have two
more wells to drill before we complete the 2022 drilling programme, including
the ASF-1X exploration well targeting mean recoverable reserves of approx. 8
mmboe gross.  We look forward to updating the market on the progress of our
2022 operations and extensive drilling programme as it progresses."

 

ENDS

 

Jonathan Leather, an Executive Director of the Company, who has over 20 years
of relevant experience in the oil and gas industry, has reviewed and approved
the information contained in this announcement.  Dr Jonathan Leather is a
qualified person as defined in the guidance note for Mining Oil & Gas
Companies of the London Stock Exchange and is a member of the Petroleum
Exploration Society of Great Britain and the Society of Petroleum Engineers.

 

This announcement contains inside information for the purposes of Article 7 of
Regulation 2014/596/EU which is part of domestic UK law pursuant to the
Market Abuse (Amendment) (EU Exit) regulations (SI 2019/310).

 

 

 

 Enquiries

 United Oil & Gas Plc (Company)
 Brian Larkin, CEO                                brian.larkin@uogplc.com (mailto:brian.larkin@uogplc.com)
 Sharan Dhami, Head of IR & ESG                   sharan.dhami@uogplc.com (mailto:sharan.dhami@uogplc.com)

 Beaumont Cornish Limited (Nominated Adviser)
 Roland Cornish | Felicity Geidt                  +44 (0) 20 7628 3396

 Tennyson Securities (Joint Broker)
 Peter Krens                                      +44 (0) 020 7186 9030

 Optiva Securities Limited (Joint Broker)
 Christian Dennis                                 +44 (0) 20 3137 1902

 Camarco (Financial PR)
 Georgia Edmonds  |  James Crothers  |            +44 (0) 20 3757 4983  |uog@camarco.co.uk (mailto:uog@camarco.co.uk)

 

Notes to Editors

United Oil & Gas is a high growth oil and gas company with a portfolio of
low-risk, cash generative production, development, appraisal and exploration
assets across Egypt, UK and a high impact exploration licence in Jamaica.

The business is led by an experienced management team with a strong track
record of growing full cycle businesses, partnered with established industry
players and is well positioned to deliver future growth through portfolio
optimisation and targeted acquisitions.

United Oil & Gas is listed on the AIM market of the London Stock
Exchange. For further information on United Oil and Gas please
visit www.uogplc.com (http://www.uogplc.com)

 

 

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