Europa Oil and Gas' Weald lease knocked back by environment minister
Europa Oil and Gas has been told that the government had decided not to renew the group's lease at Bury Hill Wood, where the company had proposed test drilling for oil.
After being told that the minister for the Department for the Environment, Food and Rural Affairs Europa had made the decision, Europa withdrew its planning application for a temporary exploration well to test the conventional Holmwood prospect on licence PEDL 143 in the Weald Basin.
Operations at PEDL 143, which contains the Portland and Kimmeridge reservoirs, was recently extended until 30th September 2020 following success at the nearby Horse Hill discovery.
Europa Oil, along with its AIM-listed partners UK Oil and Gas and Angus Energy, intends to undertake a full evaluation of alternative sites from which to target the Holmwood prospect and other plays in the licence.
As of 0820 BST, Europa shares had tumbled 10.39% to 3.45p, while Angus shares dipped 0.58% to 7.33p.