LONDON: UK Oil & Gas PLC (UKOG) announced that following last week’s formal government consent to the Company’s 50% ownership of the 305 km² Basur-Resan oil appraisal and exploration licence, it has now also completed the transaction with Aladdin Middle East Ltd (AME).
Effective forthwith the conduct of the Licence’s operations will now be governed by the respective joint operating agreement.
Both the Company and AME will now work towards finalising the design and delivery of a successful first appraisal well, Basur-3, aimed at establishing the commerciality of the aerially extensive and as yet undeveloped Basur-Resan oil discovery.
As per the Company’s 15 January 2021 announcement, the board views the Licence’s forthcoming 2021 appraisal drilling programme to present a compelling and potentially transformational growth opportunity for the Company. Further updates will be issued in due course.
Stephen Sanderson UKOG’s Chief Executive commented: “We look forward to a long and successful partnership with AME and to proving Basur-Resan to be commercially viable, a potentially significant and transformational prize for the Company.”