ASV-1X exploration well test update

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 2 022 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		[e-mail]
Sharan Dhami, Head of IR & ESG		[e-mail]
Beaumont Cornish Limited (Nominated Adviser)
Roland Cornish | Felicity Geidt		[phone]
Tennyson Securities (Joint Broker)
Peter Krens		[phone]
Optiva Securities Limited (Joint Broker)
Christian Dennis		[phone]
Camarco (Financial PR)
Georgia Edmonds  |  James Crothers  |		[phone]  | [e-mail]

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  

 

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