2020

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to provide an update on progress to first oil at the Wressle Oil Field Development (“Wressle” or the “Development”) and to provide details of a loan facility for £1 million.Wressle Development UpdateWressle is located in North Lincolnshire Licences PEDL180 and PEDL182 where the Company holds a 30% operated interest.The site reconfiguration works have been completed and the installation of surface facilities is currently ongoing at the Wressle site. To date, the storage tanks and inspection gantry have been installed and work is advanced in respect of the electrical and control system installation. All works have been completed safely whilst operating under Egdon’s “COVID secure” operating procedures. Delivery of all remaining equipment is expected to be completed during December, despite the many challenges posed by the impact of COVID-19 restrictions on the current supply chain operating environment.The PEDL180 and PEDL182 Joint Venture has decided to defer the workover operations and final commissioning of Wressle until January 2021, eliminating any possible operating and supply chain issues associated with the December festive period shutdown.As such, mobilisation of the workover rig will now take place immediately in the New Year, with the workover being completed and initial oil flows now anticipated during late January 2021.Recent photographs of the Wressle development site can be found on Egdon’s Twitter feed @EgdonResources.Loan FacilityEgdon is also pleased to announce that it has secured a £1,000,000 loan facility.A Facility Agreement and Charge Agreement (the Agreements) have been executed with Union Jack Oil plc which will provide the loan facility on commercial terms. The main terms of the Agreements are;

• 18 month term
• Principal sum payable at end of the term or in part or in full at any earlier time at the borrowers discretion
• Interest accrues on a daily basis on the outstanding loan amount at an interest rate of 11% per annum and is payable quarterly commencing on the earlier of the quarter following first production or on April 2021
• The loan is secured against an unencumbered 25% interest in the Wressle Project (PEDL180, and PEDL182), including the Wressle development project and associated infrastructure

Commenting, Mark Abbott, Managing Director of Egdon Resources plc, said:“We are pleased to have secured this source of debt financing as we progress the Wressle development to first production during January 2021. Since the award of Planning Consent in January 2020, significant progress has been made despite the challenging operating environment.Achieving commercial production from Wressle will have a significant and positive impact on Egdon’s production and cash flow, with an expected net production increase of 150 barrels of oil per day.We note the recent strengthening of the market price for oil, which will further improve the economics of this already robust development, with a project break-even oil price of $17.62 per barrel.We look forward to updating stakeholders on further progress early in the New Year.”

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to provide an update on the Biscathorpe Project in Lincolnshire Licence PEDL253 where the Company holds a 35.80% interest.This information will also be provided at a Biscathorpe Community Liaison Group meeting being held later today 10 November 2020.As previously advised, a detailed technical evaluation by the PEDL253 Joint Venture has identified accessible drilling target areas on the Biscathorpe Prospect, where evidence for a thickened Westphalian sandstone reservoir interval is evident on the reprocessed 3-D seismic. These areas can be targeted by a side-track of the existing Biscathorpe-2 well which was suspended following drilling operations in 2019. The proposed side-track will also target the oil column logged in the underlying Dinantian Carbonate in Biscathorpe-2.Egdon, on behalf of the PEDL253 joint venture partners, will be submitting an application for planning permission for the side-track drilling operation, associated testing and in a success case the long term production of oil at the site.A screening opinion was sought from Lincolnshire County Council (LCC) in respect of the need for an Environmental Impact Assessment, given the scope of the proposed application, which includes production, and the site location. A positive screening opinion has been adopted by LCC and as such the planning application will need to be accompanied by an Environmental Statement which integrates a number of specialist reports and assessments. This thorough process will enable Egdon to identify and address any potential environmental impacts arising from the proposed activity.Notwithstanding social distancing requirements and restrictions on meeting as a result of COVID-19, Egdon plans to engage with the local community and statutory consultees via a virtual public consultation event ahead of finalising the submission.The planning application will be submitted before the end of February 2021.Commenting, Mark Abbott, Managing Director of Egdon Resources plc, said:“Biscathorpe represents a material and financially robust opportunity to secure a lower carbon footprint (when compared to imports) indigenous source of oil which would generate local and regional economic benefits. Our planning application will include long term production, which if approved would provide clarity on planning, ahead of further drilling and would enable rapid development in a success case.  We are committed to consulting with the local community and other stakeholders and today’s community liaison group meeting provides an opportunity to commence this process as we continue to develop the detailed planning application for submission.”

Egdon Resources plc (AIM:EDR) notes the press release made today by UK Oil & Gas PLC (“UKOG”) the operator of PEDL143, where Egdon held a 18.4% interest.In its release UKOG advised the following in respect of PEDL143;“A detailed study examining the viability of drilling the A24 (formerly Holmwood) Portland prospect’s centre from selected sites outside the Surrey Hills Area of Outstanding Natural Beauty, each over 3 km from the target, concludes that the required long-reach/shallow target-depth wells are neither technically viable nor economically feasible. Consequently, UKOG and its partners have now relinquished their interests in the licence.”Mark Abbott, Managing Director of Egdon Resources plc, said:“The relinquishment is supported by Egdon, as a technically and commercially viable site to drill the A24 Prospect (formerly Holmwood) couldn’t be identified.  It enables Egdon to focus its resources on the core near-term priorities; namely, moving to production at Wressle during this quarter, progressing drilling options at Biscathorpe and North Kelsey, and acquiring a marine 3D seismic survey over the Resolution and Endeavour gas discoveries during the coming period.”

Egdon Resources plc (AIM:EDR) is pleased to announce an agreement with Union Jack Oil plc ( “Union Jack”) to align our equity interests in PEDL241, and to jointly pursue a farmout for the drilling of the North Kelsey-1 exploration well.The North Kelsey Prospect is a drill ready conventional oil prospect along trend from and analogous to the Wressle oil development - which lies some 15 km to the northwest - and has been mapped from 3-Dimensional seismic data to have potential for oil in up to four stacked conventional Carboniferous reservoir targets. Egdon estimates that the Prospective Resources range from 4.66 million barrels up to 8.47 million barrels, with a Mean Resource volume of 6.47 million barrels.In September we announced an extension of the existing planning consent for drilling North Kelsey-1 to 31 December 2021. We have also received the requisite permits from the Environment Agency.Under the terms of the agreement Union Jack will acquire a further 30% interest in the license for a cash consideration of £100,000 with the previous farm-in obligations terminating. Egdon will retain operatorship and a 50% interest in the licence. The transaction is subject to consent from the Oil and Gas Authority.Upon completion of the acquisition the interests held in PEDL241 will be as follows:CompanyPrevious InterestNew InterestEgdon Resources U.K. Limited80% (Operator)50% (Operator)Union Jack Oil plc20%50%Commenting on the agreement, Mark Abbott, Managing Director of Egdon Resources plc, said:“We are pleased to have reached agreement with Union Jack to fully align our interests and objectives in PEDL241 prior to a planned joint farmout of the drill ready North Kelsey-1 exploration well. All consents are in place to drill at North Kelsey, a Wressle analogue, providing a further potentially material value catalyst for Egdon during 2021.”

Egdon Resources plc (AIM:EDR) advises that its application to extend to 31 December 2021, the existing planning permission to drill conventional exploratory oil well at North Kelsey-1 site location was approved at today’s meeting of the Lincolnshire County Council Planning Committee.Commenting on the decision, Mark Abbott, Managing Director of Egdon Resources plc, said:“We are pleased with today’s decision to extend the planning permission as it enables us to progress our drilling plans at the North Kelsey conventional oil prospect which have been delayed by COVID-19 restrictions.  We will now progress our plans for drilling during 2021, providing a further potentially material near-term value catalyst for Egdon”

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to advise that the proceeds from the confidential settlement agreement between Egdon Resources U.K. Limited (acting on behalf of the PEDL253 joint venture partners) and Humber Oil & Gas Limited as announced on 24 June 2020 have been received.The joint parties to PEDL253 have therefore resolved the dispute arising under the JOA and look forward to co-operating in the future in the development of the licence.

Egdon Resources plc (AIM:EDR) is pleased to advise the completion of the Farm-In Agreement with Shell U.K. Limited (“Shell”) in respect of offshore licences P1929 and P2304 (“the Licences”) which contain the Resolution and Endeavour gas discoveries.The OGA has approved the transfer of a 70% interest and operatorship in both licences and the associated documentation including Joint Operating Agreements in respect of both licences has now been executed.Egdon retains a 30% interest in the Licences. Under the terms of the Farm-In Agreement, Shell will pay 85% of the costs of the acquisition and processing of the 3D seismic survey covering both the Resolution and Endeavour gas discoveries. Under the terms of the Licences, this work needs to be completed by 31 May 2021. The carry on the acquisition costs will be capped at US$5 million gross, beyond which Egdon would pay 30% of the survey costs. Furthermore, Shell will also pay 100% of all studies and manpower costs through to the well investment decision on the Licences.Commenting on the news, Mark Abbott, Managing Director of Egdon Resources plc, said:“We are delighted to have completed the transfer of interest and operatorship to Shell in respect of these important, and potentially valuable, licences for Egdon.  The focus will now be on progressing appraisal activity on the Resolution and Endeavour gas discoveries.  The first part of this activity will be the acquisition of a marine 3D seismic survey during Q1 2021.  We look forward to building on our good working relationship with Shell and benefiting from their substantial worldwide operational experience and expertise.”

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to provide an update on the Wressle Oil Field Development (“Wressle”) where site works have now commenced. Wressle is located in North Lincolnshire Licences PEDL180 and PEDL182 where the Company holds a 30% operated interest.The site civils contractor has mobilised and the works to reconfigure the Wressle production site have commenced. These works, which represent an important step in the development, will comprise the installation of a new High Density Polyethelene (HDPE) impermeable membrane; French drain system; an approved surface water interceptor; the construction of a purpose-built bund area for storage tanks; a tanker loading plinth and an internal roadway system.The Company remains on track for first oil during H2 2020 as previously advised.The Wressle development comprises a number of key stages which are summarised below along with progress made to date:

• Discharging the planning conditions, finalising detailed designs, tendering and procurement of materials, equipment and services and finalising all HSE documentation and procedures; the key planning conditions have been discharged, progress with detailed design tendering and procurement is proceeding as per the plan and all HSE documentation and procedures are progressing as per expectation
• Installation of groundwater monitoring boreholes and establishing baseline groundwater quality through monitoring and analysis; four groundwater monitoring boreholes have been installed and two rounds of sampling and analysis undertaken to date
• Reconfiguration of the site; site works have commenced
• Installation and commissioning of surface facilities;
• Sub-surface operations; and
• Commencement of production

Commenting, Mark Abbott, Managing Director of Egdon Resources plc, said:“We continue to make good progress with the Wressle development,  in line with the expected timeline, despite the challenges of the current operating environment. The commencement of the site reconfiguration works represents an important step in the progress to first oil which will increase Egdon’s production by 150 barrels of oil per day. Wressle is economically robust with an estimated project break-even oil price of $17.62 per barrel.We maintain our guidance of first oil during H2 2020 and will continue to update stakeholders as works progress.”

The Company is pleased to announce the appointment of WH Ireland Limited as Egdon’s Nominated Adviser (“Nomad”) and joint broker.

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to advise the signing of a legally binding and confidential settlement agreement (the “Settlement Agreement”) between Egdon Resources U.K. Limited (acting on behalf of the PEDL253 joint venture partners) and Humber Oil & Gas Limited (“Humber”). The joint parties to PEDL253 have therefore resolved the dispute arising under the JOA and look forward to co-operating in the future in the development of the licence.Upon implementation of the terms of the Settlement Agreement Egdon Resources U.K. Limited will hold a 35.8% operated interest in PEDL253.Egdon has previously announced the results of a detailed evaluation of the Biscathorpe project which concluded that a possible material and commercially viable hydrocarbon resource remains to be tested. In summary;

• Economic modelling indicates a financially robust project even in the current oil price environment
• The principal Westphalian target has an estimated un-risked gross NPV(10) of £55.6 million
• Break-even full-cycle economics estimated to be (NPV(10)) US$18.07 per barrel of oil
• A 57 metre oil bearing section in the Dinantian Carbonate of Biscathrope-2 represents a secondary target with potentially significant commercial upside
• Future identified drill targets are accessible via a side-track of the suspended Biscathorpe-2 well.

Mark Abbott, Managing Director of Egdon Resources plc, commented: “We are pleased that agreement has been reached with Humber, enabling the project to now move forward with full support from all partners.Having retained the wellsite, the JV has maintained its optionality to pursue a cost effective side-track to test the resource potential of not only the Basal Westphalian Sandstone play, but also to appraise the oil column demonstrated in the deeper Dinantian Carbonate reservoir. Our detailed work has concluded that a potentially material and commercially viable hydrocarbon resource remains to be tested at Biscathorpe.We look forward to providing further updates to shareholders as the Biscathorpe project develops.”

Egdon Resources plc (AIM:EDR) is pleased to provide an update on UK offshore licences P1929 and P2304 (“the Licences”) and the Farm-In Agreement with Shell U.K. Limited (“Shell”).As advised on 21 January 2020, the farm-in by Shell was conditional upon;

• Receiving approval from the Oil & Gas Authority (“OGA”); and
• Agreement of a mutually acceptable forward work programme and timeline with the OGA

In December 2019 Egdon announced that the OGA had granted extensions to the Licences to 31 May 2020. I am pleased to report that the OGA has now agreed to extend further the licence terms and amend the work obligations for both P1929 and P2304 as follows:P1929 and P2304The initial term of the Licences shall be extended to 31 May 2024; subject to fulfilling the following firm commitments;

1. by 31 May 2021, acquire 400 km² of 3D seismic in P1929 and P2304 or relinquish the Licences
2. by 30 November 2022, undertake to drill one well in either P1929 or P2304 to a depth of 1700 metres True Vertical Depth Subsea (TVDss), or 75 metres below the Base Permian Unconformity; or relinquish the Licences

We will now progress the assignment of the licence interests and operatorship of the Licences to Shell. On completion Egdon will retain a 30% interest in the Licences. Under the terms of the Farm-In Agreement, Shell will pay 85% of the costs of the acquisition and processing of the 3D seismic survey covering both the Resolution and Endeavour gas discoveries. The carry on the acquisition costs will be capped at US$5 million gross, beyond which Egdon would pay 30% of the survey costs. Furthermore, Shell will also pay 100% of all studies and manpower costs through to the well investment decision on the Licences.Commenting on the update, Mark Abbott, Managing Director of Egdon Resources plc, said:“Working closely with our partner Shell, we are pleased to have reached agreement with the OGA to extend the Licences coupled with revised work obligations and timelines. We will now   focus on completing the licence assignments and transfer of operatorship to Shell and progressing the planned appraisal activity on the Resolution and Endeavour gas discoveries.  The first part of this work programme will be the acquisition of a marine 3D seismic survey.  We look forward to building on our close working relationship with Shell and benefitting from their substantial worldwide operational experience and expertise; notably the development of carbonate reservoirs characteristic of the Resolution and Endeavour discoveries.”

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to provide an update on the Wressle development in North Lincolnshire Licences PEDL180 and PEDL182 where the Company holds a 30% operated interest.The Wressle development was granted planning consent on appeal on 17 January 2020. The Planning Inspector also allowed Egdon’s application for costs against North Lincolnshire Council (“NLC”) and we can advise that the gross sum of c. £403,000* has now been received from North Lincolnshire Council as settlement in full of these costs.As previously advised the plan for the Wressle development comprises the following key stages:

1. Discharging the planning conditions, finalising detailed designs, tendering and procurement of materials, equipment and services and finalising all HSE documentation and procedures
2. Installation of groundwater monitoring boreholes and establishing baseline groundwater quality through monitoring and analysis
3. Reconfiguration of the site
4. Installation and commissioning of surface facilities
5. Sub-surface operations
6. Commencement of production

Following NLC approval of the installation plan and discharge of the associated planning condition we have now completed the installation of four groundwater monitoring boreholes on the Wressle site. These boreholes will be subject to monitoring and analysis throughout the life of the site, with an initial three months of sampling to determine baseline groundwater quality.As previously advised, on current plans, the Company envisages first oil during H2 2020.Commenting, Mark Abbott, Managing Director of Egdon Resources plc, said:“We continue to make good progress with the Wressle development despite the current challenging operating environment. The successful installation of the groundwater monitoring boreholes represents an important step in the progress to first oil which will increase Egdon’s production by 150 barrels of oil per day.. Wressle remains economically robust with an estimated project break-even oil price of $17.62 per barrel.We are also pleased to have received the costs in full from North Lincolnshire Council which strengthens our finances.”

*This will be divided between partners proportionate with their interests.

Egdon Resources plc (AIM:EDR) announces that on 24 April 2020, Mark Abbott, Walter Roberts and Tim Davies, all Directors of the Company, acquired shares as detailed below as part of the second tranche of the Subscription announced on 14 April 2020 at a price of 2p per share..DirectorSubscription SharesResultant shareholdingPercentage %on admissionMark Abbott2,500,00011,892,6173.62Tim Davies50,00050,0000.02Walter Roberts250,0001,224,1290.37The new shares are expected to be admitted to AIM on or around 1 May 2020.

Egdon Resources plc (AIM: EDR, "Egdon") is pleased to announce the completion of Tranche 2 of the Equity Fundraising announced by the Company on 14 April 2020 (RNS number 4724J). Tranche 2 of the Subscription includes the issue of 2,800,000 new ordinary shares of 1p each in the capital of the Company to Mark Abbott, Walter Roberts and Tim Davies (the “Directors”) at a subscription price of 2p (the “Directors’ Subscription Shares”) and 1,441,780 new ordinary shares of 1p each in the capital of the Company to Petrichor at a subscription price of 2p (the “Petrichor Further Subscription Shares”) (together the “Tranche 2 Subscription Shares”).As announced on 14 April 2020 the equity fundraising will result in gross proceeds of approximately £500,000 (before expenses).The Admission of the 20,758,220 new ordinary shares representing Tranche 1 of the Subscription took place on 20 April 2020. Application has been made for the admission of the 4,241,780 Tranche 2 Subscription Shares to be admitted to AIM on or around 1 May 2020.Capitalised terms used but not otherwise defined in this announcement bear the meanings ascribed to them in the announcement by the Company on 14 April 2020 (RNS number 4724J).Concert PartyPetrichor is a wholly owned subsidiary of HEYCO Energy Group, Inc. (“HEYCO”). HEYCO’s majority shareholder is Explorers Petroleum Corporation of which George Yates is the ultimate controller.The Petrichor Further Subscription Shares will be registered in the name of Jalapeño Corporation (“Jalapeño”). Jalapeño’s President is Harvey E Yates Jr, George Yates’ brother. As such, Petrichor and Jalapeño constitute a concert party for the purposes of the Takeover Code (the “Concert Party”).Following Admission of the Tranche 2 Subscription Shares, the Concert Party will hold in aggregate 111,592,046 Ordinary Shares (representing 33.99 per cent. of the enlarged share capital).Related PartyMark Abbott is a Director of the Company and is interested in 9,392,617 ordinary shares (representing 2.90% of the current issued share capital).Walter Roberts is a Non-Executive Director and Company Secretary of the Company and is interested in 974,129 ordinary shares (representing 0.30% of the current issued share capital).Tim Davies is a Non-Executive Director of the Company and is not currently interested in any ordinary shares.The Concert Party is a substantial shareholder in the Company and, following the admission of the Tranche 2 Subscription Shares will be interested in 111,592,046 Ordinary Shares (representing 33.99% of the current issued share capital).The participation in the Directors’ Subscription by Mark Abbott, Walter Roberts and Tim Davies and the Petrichor Further Subscription both constitute related party transactions under the AIM Rules for Companies.Following Admission of the Tranche 2 Subscription Shares, the holdings of the Directors will be as follows:DirectorTranche 2 Subscription SharesResultant shareholdingPercentage %Mark Abbott2,500,00011,892,6173.62Tim Davies50,00050,0000.02Walter Roberts250,0001,224,1290.37The directors of the Company (with the exclusion of Mark Abbott, Walter Roberts and Tim Davies), having consulted with the Company's nominated adviser, Cantor Fitzgerald Europe, consider the terms of the Fundraising to be fair and reasonable insofar as the Company's shareholders are concerned.Total Voting RightsThe current issued share capital of the Company is 324,073,845 Ordinary Shares, each with voting rights.Following Admission of the 4,241,780 Tranche 2 Subscription Shares on or around 1 May 2020, the Company’s enlarged issued share capital will comprise 328,315,625 Ordinary Shares, each with voting rights. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the Disclosure and Transparency Rules.This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 ("MAR"). In addition, market soundings (as defined in MAR) were taken in respect of the Subscription with the result that certain persons became aware of inside information (as defined in MAR), as permitted by MAR.  This inside information is set out in this Announcement.  Therefore, those persons that received inside information in a market sounding are no longer in possession of such inside information relating to the Company and its securities.

Egdon Resources plc (AIM:EDR) announces that on 21 April 2020, Elizabeth Stephens, wife of Philip Stephens, a Non-Executive Director of the Company, purchased 100,000 ordinary shares of 1 pence each (“Ordinary Shares”) at a price of 1.9 pence per share.Following this transaction, Philip and Elizabeth Stephens are interested in 231,703 Ordinary Shares, representing 0.072% of the Company’s issued share capital.

Egdon Resources plc (AIM: EDR), a UK-based exploration and production company primarily focused on the hydrocarbon-producing basins of onshore UK, today announces its unaudited results for the six months ended 31 January 2020 (“the Period”).Overview and HighlightsOperational and Corporate

• Production for the Period of 178 barrels of oil equivalent per day “boepd”) (H1 2019: 164 boepd) in line with guidance
• Planning Consent granted on appeal for the Wressle oil field development
• Farm-out agreement signed with Shell U.K. Limited (“Shell”) for P1929 and P2304 (Resolution and Endeavour undeveloped discoveries)
• Springs Road-1 analysis confirms a potentially world class hydrocarbon resource is present in the Gainsborough Trough
• The UK government has imposed a moratorium on high volume hydraulic fracturing for shale gas in England

Financial Performance

• Oil and gas revenues during the period fell to of £0.675 million (H1 2019: £1.210 million) as a result of the weak price environment
• Loss of £1.044 million (H1 2019: £0.724 million) before impairments
• Overall loss for the period of £3.235 million including £2.191 million of impairments (H1 2019: loss of £0.724 million, £Nil impairments)
• Cash and cash equivalents of £0.78 million (H1 2019: £1.78 million)
• Net current assets as at 31 January 2020 of £0.37 million (H1 2019: £2.35 million)
• Net Assets at 31 January 2020 of £27.81 million (H1 2019: £30.00 million)

Post-Period Events

• To date there has been no operational impact from the Government’s restrictions imposed due to Covid-19
• An economic assessment of the Wressle development demonstrates that the project is robust in the current economic environment with a project breakeven price of $17.62/bbl
• Post well technical update indicates the potential for a material and commercially viable resource remains on the Biscathorpe project with a breakeven price of $18.07/bbl
• An equity fundraise subscription to raise £500,000 before expenses, in two tranches with funds to be used to progress near term cash generative projects such as Wressle and general working capital.

Outlook

• Production guidance for the full financial year is retained at 130-140 boepd

Our key operational focus for the coming period will be:

• Developing the Wressle oil field for production start-up in H2 2020
• Completing the farm-out of the Resolution and Endeavour projects with Shell and progressing the acquisition of the planned marine 3D seismic survey
• Progressing plans for a Biscathorpe-2 side-track well
• Maintaining the option for North Kelsey-1 exploration well for drilling in 2021
• Subject to the lifting of the current moratorium on hydraulic fracturing operations for shale gas, progressing the planning and permitting for the drilling and subsequent testing of the Springs Road-2 well

Online PresentationsGiven the current Government guidance on social distancing, no face to face meetings are possible at this time. As such an audiocast of the Interim Results Presentation is available to view via following link:https://webcasting.buchanan.uk.com/broadcast/5e9abe8931da814c9fc6aad1Commenting on the results, Philip Stephens, Chairman of Egdon said;“The highlight of the Period is undoubtedly the grant of planning consent after appeal for the development atWressle. Our agreement with Shell with regard to our North Sea prospects and the positive results of the test drilling at Springs Road are also significant achievements. The current market conditions are difficult and the Board's focus will be on cost discipline and continued safe operations as we seek to navigate the near-term challenges faced by the whole Country and the specifics of our industry. We are confident that we have the right asset base and strategy to deliver long-term value for our shareholders and look forward to more normal times and progressing the exciting opportunities that your Company has.”View or download 2020 Interim Report

Egdon Resources plc (AIM: EDR, "Egdon") is pleased to announce that it has raised approximately £500,000 via a subscription for new shares, to be completed in two tranches. The Company has raised approximately £415,164 (the "Subscription") through the issue of 20,758,220 new ordinary shares of 1 pence each in the Company (the "Subscription Shares") at a price of 2p per Ordinary Share ("Issue Price"). The Subscription includes a £141,114 subscription by Petrichor Holdings Coöperatief U.A. (“Petrichor”).In addition, because the Company is currently in a close period due to its intended publication of Interim Results for the six months ended 31 January 2020 on 21 April 2020, Mark Abbott (Managing Director), Walter Roberts (Non-Executive Director and Company Secretary) and Tim Davies (Non-Executive Director) of Egdon have undertaken to subscribe to raise £56,000 following publication of those Interim Results as set out further below (the “Directors’ Subscription”). In connection with the Director’s Subscription, Petrichor has undertaken to subscribe for such further number of shares, at the Issue Price, that would maintain their holding in the Company at 33.99%. If the Directors Subscription is undertaken at the Issue Price (2p per Ordinary Share) this will result in gross proceeds of £500,000 for the two tranches.Highlights

• Subscription for 7,055,720 New Ordinary Shares as outlined below (the “Petrichor Subscription Shares") by Petrichor at an issue price of 2 pence per Subscription Share to raise gross proceeds of £141,114 (the "Petrichor Subscription").
• In connection with the Directors’ Subscription, Petrichor has undertaken to subscribe for such number of shares at the Issue Price that would maintain their holding in the Company at 33.99% (the “Petrichor Further Subscription”)
• The Issue Price represents a 14.89 per cent. discount to the closing price (of 2.35p) of the Ordinary Shares on Thursday 9 April 2020, the last trading day prior to this Announcement.
• An undertaking to subscribe to raise £56,000 by Mark Abbott (Managing Director), Walter Roberts (Non-Executive Director and Company Secretary) and Tim Davies (Non-Executive Director) (the “Directors’ Subscription”) at the higher of the Issue Price or the volume weighted adjusted price (“VWAP”) of the Ordinary Shares on the three days following publication of the Company’s Interim Results, subject to the same discount of 14.89 per cent (the “Directors’ Subscription Price”).
• The net proceeds of the fundraising receivable by the Company will be used primarily to:
• Progress key near term cash generative projects such as Wressle; and
• General working capital.

The Fundraising will complete in 2 tranches, the first of which will complete on or around 20 April 2020 and the second will complete on or around 27 April 2020, or the earliest such time that the Directors are not in possession of inside information.Tranche 1The £415,164 subscription monies payable for 20,758,220 of the Subscription Shares (“Tranche 1 Subscription Shares”) are payable on 20 April 2020. Application will be made to the London Stock Exchange for the Tranche 1 Subscription Shares to be admitted to trading on the AIM Market of the London Stock Exchange (“Admission”) and it is expected that Admission of the Tranche 1 Subscription Shares will become effective on or around 20 April 2020.Tranche 2The subscription monies payable for the Directors’ Subscription Shares and the Petrichor Further Subscription (“Tranche 2 Subscription Shares”) are expected to be payable on 27 April 2020. A further update will be made once the Director’s Subscription Price and the number of Directors’ Subscription Shares is known.Application will be made for Admission of the Tranche 2 Subscription Shares and it is expected that Admission of the Tranche 2 Subscription Shares will become effective on or around 27 April 2020 or the earliest such time that the Directors are not in possession of inside information if later.The Tranche 1 Subscription Shares and the Tranche 2 Subscription Shares will rank pari passu with the Company’s existing Ordinary Shares in all respects.Mark Abbott, Managing Director of Egdon, commented:"Egdon is pleased to have secured these funds in difficult market conditions to progress our key near term projects. We are grateful for the continued support from Petrichor, an existing shareholder with extensive knowledge and experience of exploration and production of unconventional hydrocarbons."Related Party TransactionsMark Abbott is a Director of the Company and is interested in 9,392,617 ordinary shares (representing 3.10% of the current issued share capital).Walter Roberts is a Non-Executive Director and Company Secretary of the Company and is interested in 974,129 ordinary shares (representing 0.32% of the current issued share capital).Tim Davies is a Non-Executive Director of the Company and is not currently interested in any ordinary shares.Petrichor is a substantial shareholder in the Company and is interested in 103,094,546 Ordinary Shares (representing 33.99% of the current issued share capital).The participation in the Directors’ Subscription by Mark Abbott, Walter Roberts and Tim Davies and the Petrichor Subscription both constitute related party transactions under the AIM Rules for Companies.The directors of the Company (with the exclusion of Mark Abbott, Walter Roberts and Tim Davies), having consulted with the Company's nominated adviser, Cantor Fitzgerald Europe, consider the terms of the Fundraising to be fair and reasonable insofar as the Company's shareholders are concerned.Concert partyPetrichor is a wholly owned subsidiary of HEYCO Energy Group, Inc. (“HEYCO”). HEYCO’s majority shareholder is Explorers Petroleum Corporation of which George Yates is the ultimate controller.The Petrichor Subscription Shares will be registered in the name of Jalapeño Corporation (“Jalapeño”). Jalapeño’s President is Harvey E Yates Jr, George Yates’ brother. As such, following the Subscription Petrichor and Jalapeño will constitute a concert party for the purposes of the Takeover Code (the “Concert Party”).Following Admission of the Tranche 1 Subscription Shares, the Concert Party will hold in aggregate 110,150,266 Ordinary Shares (representing 33.99 per cent. of the enlarged share capital).Following Admission of the Tranche 2 Subscription Shares, the Concert Party will hold such number of Ordinary Shares representing 33.99 per cent. of the enlarged share capital.Total Voting RightsThe current issued share capital of the Company is 303,315,625 Ordinary Shares, each with voting rights. This figure may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the Disclosure and Transparency Rules.Following Admission of the 20,758,220 Tranche 1 Subscription Shares on or around 20 April 2020, the Company's enlarged issued share capital will comprise 324,073,845 Ordinary Shares, each with voting rights.A further update will be made by the Company, on or around 27 April 2020 (or the earliest such time that the Directors are not in possession of inside information), regarding the Company’s enlarged share capital following admission of the Tranche 2 Subscription Shares.This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 ("MAR"). In addition, market soundings (as defined in MAR) were taken in respect of the Subscription with the result that certain persons became aware of inside information (as defined in MAR), as permitted by MAR.  This inside information is set out in this Announcement.  Therefore, those persons that received inside information in a market sounding are no longer in possession of such inside information relating to the Company and its securities.

Egdon Resources plc (AIM: EDR) provides an update on the impact of COVID-19 on the business and an update on current trading.The coronavirus pandemic represents an unprecedented national and international public health emergency which has impacted many aspects of our daily lives and which we hope to see resolved quickly. The primary concern and focus for the Company at this time is the health and safety of our employees, contractors and other stakeholders.In this regard, Egdon’s office-based employees have been working from home since 19 March 2020 using well established systems to maintain full functionality and the ability to do so for however long the current Government guidance is maintained. I am pleased to report that to date there have been no incidents of infection within our workforce.Our currently operational sites - Keddington and Fiskerton Airfield - are managed by a third-party contractor and we have jointly established procedures and plans to ensure continuing safe functioning of the sites within the oversight of existing government regulation. Oil and gas workers are considered by the Government to be ‘key workers’. As such, travel to and from site remains unrestricted as does the transportation of produced oil to the nearby refinery.We will continue to monitor the situation and act within Government guidelines as matters develop but at this stage do not anticipate any adverse impacts to our production operations.As announced on 26 February 2020, production during the six months ended 31 January 2020 was 178 barrels of oil equivalent per day (“Boepd”) (H1 2019: 164 Boepd). Revenue during the six months to 31 January 2020 was £0.675 million (H12019: £1.21) which reflects the lower gas prices seen through the winter of 2019/20. Production remains within guidance of 130-140 Boepd for the full financial year (ending 31 July 2020).The coronavirus pandemic and the resultant international actions have adversely impacted worldwide oil demand which has largely contributed to the current low oil price environment. In common with our peers, our current late field life production is unprofitable at these current prices and we are reducing costs wherever possible.Given the current reduction in predicted oil and gas forward prices, non-cash impairments will be made in our Interim Results on a small number of assets. These impairments are expected to be of the order of c.£2.5-3.0 million out of total non-current assets of £31.94 million.The Company is focussed on reducing costs and expenditure and concentrating on progressing key near term cash generative projects such as Wressle. We will continue to keep future activity under review in light of the current circumstances and are positioning the Company for growth once normality returns to the economy and oil markets.The Company will be releasing its Interim Results for the six months ended 31 January 2020 on 21 April 2020.

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to provide an update on the Biscathorpe Project in Lincolnshire Licence PEDL253 where the Company holds a 44.75% operated economic interest.Highlights

• Economic modelling indicates a financially robust project even in the current oil price environment
• The principal Westphalian target has an estimated un-risked gross NPV(10) of £55.6 million
• Break-even full-cycle economics estimated to be (NPV(10)) US$18.07 per barrel of oil
• A 57 metre oil bearing section in the Dinantian Carbonate of Biscathrope-2 represents a secondary target with potentially significant commercial upside
• Future identified drill targets are accessible via a side-track of the suspended Biscathorpe-2 well.

Biscathorpe is located within the proven hydrocarbon fairway of the Humber Basin, on-trend with the Saltfleetby gasfield and Keddington oilfield (Egdon 45%) which produces oil from a Carboniferous Westphalian aged reservoir, the principal target at Biscathorpe.The PEDL253 Joint Venture partnership has now completed extensive and detailed studies of the Biscathorpe project, including the reprocessing and remapping of 264 square kilometres of 3D seismic. This work has been integrated with the results of the Biscathorpe-2 well, resulting in a significantly improved understanding of the prospectivity in the Biscathorpe project area. The results of this substantial piece of work have concluded that a possible material and commercially viable hydrocarbon resource remains to be tested.Accessible target areas have been identified, where evidence for a thickened Westphalian sandstone reservoir interval is evident on the reprocessed 3-D seismic. These areas can be targeted by a side-track of the existing Biscathorpe-2 well which was suspended following drilling operations in 2019. The side-track will also target the oil column logged in the underlying Dinantian Carbonate in Biscathorpe-2, as detailed below.The gross Mean Prospective Resources associated with the Westphalian target area are estimated by Egdon to be 3.95 million barrels of oil (mmbbls), with an upside case of 6.69 mmbbls. Preliminary economic modelling demonstrates that the Westphalian target is economically robust in the current oil price environment with break-even full cycle economics estimated at US$18.07 per barrel and an NPV(10) valuation of £55.60 million.The Westphalian objective was absent at the Biscathorpe-2 well location, however, a total of57 metres of oil bearing, Dinantian Carbonate has been confirmed by petrophysical analysis. Hydrocarbon shows with background gas and sample fluorescence were recorded across the entire sectionfrom Top Dinantian Carbonate to the Total Depth (“TD”) of the well (an interval of over 150 metres).A geochemical analysis of the gas data and hydrocarbons extracted from drill cuttings was originally commissioned by Union Jack and carried out by Applied Petroleum Technology (UK) Limited (“APT”). The results of this analysisshow a hydrocarbon column of 33-34 degree API gravity oil comparable with nearby producing fields.An assessment of the Dinantian oil volumes indicates gross Mean Stock Tank Oil Initially in Place (“STOIIP”) of 24.3 mmbbls with an upside STOIIP case of 36 mmbbls.Although the Dinantian is not considered to be the primary target, should there be effective permeability, or the presence of fractures within this section there is the possibility of a further commercially viable play being present within the Biscathorpe licence area that would add considerable resources upside over and above those associated with the principal target in the Westphalian reservoir.Commenting, Mark Abbott, Managing Director of Egdon Resources plc, said:“We are highly encouraged by the post-well evaluation of the Biscathorpe project area which has now benefited from an integrated assessment of the 2019 well data and reprocessed 3D seismic data. This work has concluded that a potentially material and commercially viable hydrocarbon resource remains to be tested.Having retained the wellsite, the JV has maintained its optionality to pursue a cost effective side-track to test the resource potential of not only the Basal Westphalian Sandstone play but also to appraise the oil column demonstrated in the deeper Dinantian Carbonate reservoir. I look forward to being able to update all stakeholders as we progress our plans for this potentially significant oil accumulation.”

Egdon Resources plc (AIM: EDR, “Egdon”) is pleased to provide an update on the Wressle development in North Lincolnshire Licences PEDL180 and PEDL182 where the Company holds a 30% operated interest.Given recent events in the oil and gas markets, Egdon has updated its economic model for the Wressle project.This work demonstrates that the project is economically robust in the current low oil price environment with an estimated project break-even oil price of $17.62 per barrel.The Wressle development was granted planning consent on appeal on 17 January 2020. The planning inspector also allowed Egdon’s application for costs against North Lincolnshire Council (“NLC”) and this has subsequently been submitted to NLC.The forward plan for the Wressle development comprises the following key stages

1. Discharging the planning conditions, finalising detailed designs, tendering and procurement of materials, equipment and services and finalising all HSE documentation and procedures
2. Installation of the ground water monitoring boreholes and establishment of baseline conditions through monitoring
3. Reconfiguration of the site
4. Installation and commissioning of surface facilities
5. Sub-surface operations
6. Commencement of production

Progress to date has concentrated on the enabling works highlighted in point 1 above. The initial work on site will be the installation of the groundwater monitoring boreholes with the main site operations occurring in the last months of the work stream. On current plans, the Company envisages first oil during H2 2020.Commenting, Mark Abbott, Managing Director of Egdon Resources plc, said:“Our modelling shows that the Wressle development is economically robust at and below the current oil price and remains a core focus for the business with a current expectation of first oil in the second half of 2020.”

Egdon Resources plc (AIM:EDR, “Egdon” or “the Operator”) notes the announcement made this morning by Union Jack Oil plc (“UJO” or “the Company”) on their acquisition of an additional 35% interest in the producing Keddington Oilfield PEDL005(R) and a 15% Interest in PEDL339 from Terrain Energy Limited. (“Terrain”).Egdon holds a 45% interest in PEDL005(R) and a 65% interest in PEDL339 and is the operator of both licenses.The UJO release refers to technical work undertaken by Egdon on PEDL005(R) and PEDL339 and included the following statements by UJO which are of relevance to Egdon’s shareholders:“Keddington, currently producing approximately 28 barrels of high-quality oil per day from Carboniferous age sandstone reservoirs, is located along the highly prospective East Barkwith Ridge, an east-west structural high on the southern margin of the Humber Basin.A detailed, in-depth subsurface review of the Keddington field and the surrounding licence area was conducted by Egdon during 2019, resulting in a fully audited and consistent data set that supports updated resource estimates generated by the Operator.These geological and geophysical studies indicate that potentially significant resources remain unswept at Keddington, highlighting an excellent opportunity to increase production volumes multi-fold by the drilling of a relatively inexpensive development well from the existing production site.  The gross remaining Mean Contingent Resource at Keddington is 567,000 bbls of oil ”Egdon “is finalising the assessment of potential in-fill drilling locations at Keddington with a view to targeting a side-track drilling location.The Keddington site lease has been extended until 2029.  Current planning consent expires in 2058, with approval in place for the drilling of a further two wells.In addition to the unswept resources in Keddington, a near-field exploration opportunity exists at Keddington South, which has a gross Mean Prospective Resource Volume of 635,000 bbls of oil.As part of this acquisition, the Company is also acquiring a 15% interest in PEDL339 into which the Louth Prospect, with a gross Mean Prospective Resource of 600,000 bbls of oil, extends from PEDL005(R). Significant additional Prospective Resources, both for oil and gas also exist over the licence areas and includes the North Somercotes Prospect”.Commenting on the updated work reported in the UJO release, Mark Abbott, Managing Director of Egdon Resources plc, said:“We are encouraged by the results of the subsurface review of our eastern Humber Basin licences which has identified a new low-risk near-field exploration opportunity at Keddington South, additional resources in our producing Keddington oil field and confirmed low risk resources at Louth.  We believe these opportunities can be targeted by drilling from the current Keddington location and present a number of low-risk/low-cost drilling opportunities for Egdon.We welcome UJO’s increased participation in the licences and continued technical contribution and thank Terrain for their active involvement  to date.”

Egdon Resources plc (AIM:EDR) is pleased to provide an update on production for the first half of the Company’s 2019-2020 financial year (“H1 2020” or “the Period”) which ended on 31 January 2020.Production during the Period was 32,758 barrels of oil equivalent (“boe”), at an average of 178 boe per day (“boepd”) (H1 2019: 30,026 boe, 164 boepd). This is in line with previous guidance for H1 of 170-180 b/d. The previously stated guidance of 130-140 boepd for the full year remains valid. Production was attained from the Ceres gas field and the Keddington and Fiskerton Airfield oil fields.The Company’s interim results for H1 2020 are scheduled to be announced on 21 April 2020.Commenting on the update, Mark Abbott, Managing Director of Egdon Resources plc, said:“2020 has started positively for Egdon, with continued strong production across our portfolio, a positive outcome to the Wressle planning inquiry and the announcement of a farm-in by Shell U.K. Limited into our offshore Resolution and Endeavour projects.Our current focus is on the Wressle field development, where we are working to discharge the planning conditions ahead of commencing site works. We will provide shareholders with a detailed update on Wressle and the Biscathorpe project following Joint Venture meetings in the coming weeks.”

Further to our announcement of 20 January 2020, Egdon Resources plc (AIM:EDR) is pleased to announce the signature of a Farm-In Agreement with Shell U.K. Limited (“Shell”) in relation to UK offshore licences P1929 and P2304 (“the Licences”) which contain the Resolution and Endeavour gas discoveries respectively.Egdon subsidiary, Egdon Resources U.K. Limited (‘ERUK’) currently holds a 100% interest in both licences.Under the terms of the farm-in agreement;

• Shell will acquire a 70% working interest in Licences P1929 and P2304, and be appointed as the licence operator
• ERUK will retain a 30% non-operated interest in the Licences
• As consideration, Shell will pay 85% of the costs of the acquisition and processing of a 3D seismic survey covering both the Resolution and Endeavour gas discoveries with the carry on the acquisition costs capped at US$5 million gross, beyond which it would pay 70% of the costs ; and
• Shell will also pay 100% of all studies and manpower costs up to a well investment decision on the Licences

The farm-in is conditional upon;

• Approval from the Oil & Gas Authority (“OGA”); and
• Agreement of a mutually acceptable forward work programme and timeline with the OGA

In December 2019 Egdon announced that the OGA had granted extensions to the Licences to 31 May 2020 subject to securing a farm-in agreement by 31 January 2020 (which this agreement fulfils) and to demonstrating by the 31 March 2020, that the Licensees are on track to deliver a future programme of 3D seismic data acquisition across both Licences (which is in progress). Egdon and Shell will now engage with the OGA to agree the nature and timing of the forward work programme which will enable further licence extensions to be granted to accommodate this.A Competent Person’s Report prepared by Schlumberger Oilfield UK PLC (April 2019) reported Mean Contingent Gas Resources of 231 billion cubic feet of gas (“bcf”), with a P90 to P10 range of 100 to 389 bcf, attributable to the Resolution gas discovery (P1929). The Resolution discovery was made by Total in 1966 when well 41/18-2 flow tested gas from the Permian aged Zechstein carbonate (limestone) reservoir. Additionally, Egdon estimates that the Endeavour gas discovery (P2304) contains Mean Contingent Resources of 18 bcf, with a P90 to P10 range of 10 to 28 bcf.Commenting on Shell’s farm-in to these licences, Mark Abbott, Managing Director of Egdon Resources plc, said:“We are delighted to have signed a farm-in agreement with Shell in respect of these highly prospective licences.  This transaction validates our views on the potential of these blocks and introduces a highly experienced and respected operator to progress appraisal activity on the Resolution and Endeavour gas discoveries.  In difficult market conditions Egdon has secured a substantial carry on costs to the well investment decision whilst retaining a material 30% interest in the licences.  Our immediate focus will be to work with Shell to agree a forward work programme and timeline for the licences with the OGA.  The first part of this work programme will be the acquisition of a marine 3D seismic survey to enable a decision on the contingent appraisal well.  We look forward to working with Shell and benefitting from their substantial worldwide operational experience and expertise, including in the development of carbonate reservoirs of this type.”

The Company is pleased to provide an update to the announcement of 4 November 2019, regarding the exclusivity agreement (the “Agreement”) in respect of Licences P1929 and P2304 (the “Licences”) with a large internationally recognised exploration and production company (the “Counterparty”). Egdon Resources U.K. Limited and the Counterparty have agreed to a short extension to the deadline (from 19 January 2020) for execution of a definitive “farm-out” agreement under the terms of the Agreement.The short extension will run until 23 January 2020 to provide time for the completion of the farm-in documentation.Until the definitive agreement is signed, no assurance can be given that a commercial transaction will ultimately be concluded with the Counterparty.Mark Abbott, Managing Director of Egdon Resources plc, said:“Having secured extensions to the Licences during November 2019, we have made excellent progress in respect of agreeing the terms and preparing the documentation for a potential farm-in by the Counterparty.”

Egdon Resources plc (AIM:EDR) is pleased to report that the Planning Inspectorate has today upheld our appeal and granted planning consent for the development of the Wressle Oil Field in North Lincolnshire licences PEDL180 and PEDL182.The Inspector also allowed the application for an award of costs against North Lincolnshire Council.Mark Abbott Managing Director of Egdon Resources plc, said:“I am delighted that the Planning Inspectorate has made this positive determination in relation to this important asset for Egdon and our JV partners. We will now begin work on discharging the planning conditions and the detailed planning for the development works.We will continue to keep shareholders and the local community informed.”Wressle project page