The Australian investor, David Lenigas, says the Brockham well near Dorking in Surrey is key to unlocking potential oil production in the Weald Basin in southern England.
Mr Lenigas, chair of Doriemus PLC, told Proactive Investors today the well would reveal whether oil in Kimmeridge limestones would flow in other parts of the Weald, as well as at Horse Hill near Gatwick.
He said his company, which has a 10% stake in Brockham, was “very excited” about the results of work recently carried out on the well.
“All zones that we were looking for in the log analysis have identified hydrocarbons, and in particular gas.
“Over the course of the next week or three we’ll be releasing the results of the log work, the maturity analysis, the whole concept of ‘Is the weald limestones in the Kimmeridge naturally fractured like it was at Horse Hill’ and then obviously going to move into production testing.”
Since December, work on the Brockham well, operated by Angus Energy, has prompted protests and concern from some residents. Last week DrillOrDrop reported that part of the well had had to be abandoned after hydrocarbons bypassed an isolation plug.
Surrey County Council has confirmed that Angus Energy does not have permission to extend the well vertically or horizontally and no planning application had been submitted.
Similar characteristics to Horse Hill
Mr Lenigas said the analysis from Brockham so far had revealed similar characteristics to the well at Horse Hill.:
“The proof of the pudding’s going to be in the eating when we do the flow test, not too far away.
“And then that, I think, opens up the whole Weald basin for other players to go look. There is substantial amounts of oil in these Kimmeridge limestones. And it’s shallow and it doesn’t require fracking.”
Mr Lenigas, a former chairman of UK Oil & Gas, said Brockham had advantages over Horse Hill.
“The beautiful thing about the Brockham field is it’s already a producing licence. Horse Hill now needs to go through two, three, four, five years of permitting, flow tests, appraisal wells, government legislation to turn it from an exploration site into a development site.
“But Brockham’s been producing happily in that part of the south of England, just south of the M25, for 40 years, so the exciting thing about Brockham is when we start flowing the oil we can put it straight into the industry.”