Europa Oil & Gas (Holdings) Plc Wressle Oil Discovery Update

 
TIDMEOG 
 
Europa Oil & Gas (Holdings) plc / Index: AIM / Epic: EOG / Sector: Oil & Gas 
 
26 September 2017 
 
          Europa Oil & Gas (Holdings) plc ('Europa' or 'the Company') 
 
     Extension of Agreement to Sell 10% Interest in Wressle Oil Discovery 
 
Europa Oil & Gas (Holdings) plc, the UK and Ireland focussed exploration, 
development and production company, is pleased to announce a second extension 
to the Sale and Purchase Agreement ('SPA') signed between its wholly owned 
subsidiary and Upland Resources (UK Onshore) Limited ('Upland') in relation to 
a 10% interest in Europa's PEDL180 and PEDL182 ('the Licences') in North 
Lincolnshire.  Europa currently has a 30% working interest in the Licences, 
which include the Wressle discovery and the Broughton North prospect, alongside 
Egdon Resources (operator, 25%), Celtique Energie Petroleum Ltd (33.33%), and 
Union Jack Oil (11.67%), (together "the Joint Venture partners").  Completion 
of the SPA would result in Europa retaining a 20% interest in the Licences. 
 
As set out in the Company's announcement of 24 November 2016, completion of the 
SPA is conditional upon, inter alia, approval from the Oil & Gas Authority and 
approval of the Wressle Field Development Plan.  The outstanding condition to 
completion of the SPA is the award of relevant planning permissions to the 
Wressle development. 
 
On 7 February 2017, the Company announced the decision by the Joint Venture 
partners to appeal against the refusal by North Lincolnshire Council to grant 
planning consent for the development of Wressle and to file a new planning 
application covering the specific concerns outlined by the Council's planning 
committee.  On 3 July 2017, this new application was refused planning 
permission by the Council.  On 1 August 2017, Egdon Resources announced its 
intention to bring forward appeals against the Council's decisions. The appeals 
hearing is expected to commence on 7 November 2017 with a decision expected 
within six weeks of the end of the six day appeals hearing.  The format of the 
appeals differs from the planning decisions made by North Lincolnshire Council: 
the appeals take only prior written dispositions, which are subject to proper 
scrutiny and cross examination and they are held within a well-constrained 
framework and timeframe. 
 
To allow sufficient time for the appeal process to be completed, Upland has 
agreed to an extension of the 'long stop' date by which the conditions of the 
SPA are to be satisfied from 30 September 2017 to 28 February 2018. 
 
On satisfaction of the conditions, the sale to Upland of a 10% interest in the 
Licences is to be effected by way of an assignment from Europa.  As part of the 
consideration due to Europa on completion of the SPA, the Company is to be 
issued with 23,076,923 new ordinary shares in Upland Resources Limited ('the 
Initial Consideration Shares').  The remainder of the initial consideration is 
to be settled in cash.  Following the extension of the 'long stop' date to 28 
February 2018, Europa has agreed not to dispose of any of the Initial 
Consideration Shares before 1 February 2019.  This is subject to certain 
limited exceptions. 
 
                                 * * ENDS * * 
 
For further information please visit www.europaoil.com or contact: 
 
Hugh Mackay       Europa                        + 44 (0) 20 7224 
                                                3770 
 
Phil Greenhalgh   Europa                        + 44 (0) 20 7224 
                                                3770 
 
Matt Goode        finnCap Ltd                   + 44 (0) 20 7220 
                                                0500 
 
Simon Hicks       finnCap Ltd                   + 44 (0) 20 7220 
                                                0500 
 
Emily Morris      finnCap Ltd                   + 44 (0) 20 7220 
                                                0500 
 
Frank Buhagiar    St Brides Partners Ltd        + 44 (0) 20 7236 
                                                1177 
 
Susie Geliher     St Brides Partners Ltd        + 44 (0) 20 7236 
                                                1177 
 
Notes 
 
Europa Oil & Gas (Holdings) plc has a diversified portfolio of multi-stage 
hydrocarbon assets that includes production, exploration and development 
interests, in countries that are politically stable, have transparent licensing 
processes, and offer attractive terms.  In 2016 Europa produced 123 boepd.  Its 
highly prospective exploration projects include the Wressle development 
(targeting production start-up in 2018 at up to 500 bopd gross) in the UK and 
seven licences offshore Ireland with the potential to host gross mean un-risked 
prospective and indicative resources of more than 4 billion barrels oil 
equivalent and 1.5 tcf gas across all seven licences. 
 
 
 
END

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September 26, 2017 10:30 ET (14:30 GMT)

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