UKOG Oil Field Near Gatwick Airport Untested

UK Oil & Gas Investments PLC (UKOG) has said its estimation of potential oil near Gatwick airport was untested.

The “clarification” came after its oil discovery in Horse Hill last week.

UKOG’s chief executive told the BBC at the time that the Weald area, including the new discovery, could have “between 50 and 100 billion barrels of oil in place in the ground”.

But the company now says it has “not undertaken work… sufficient to comment” on the Weald Basin potential.

A spokesman told the BBC that the Alternative Investment Market (AIM) – on which the company is listed – wanted UKOG to “clarify and reinforce the numbers”.

UKOG announced: “The company has not undertaken work outside of its licence areas sufficient to comment on the possible OIP [oil in place] in either the approximate 1,100 sq miles or the whole of the Weald Basin.”

It added that “further well testing and assessment of recovery factors will be required to seek to quantify net resources in relation to the… areas and to prove its commerciality”.

via BBC

Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza