Egdon Resources has announced plans for a new well and oil production at its site at Biscathorpe in Lincolnshire.
A statement from the company this morning said it would seek planning permission by the end of February 2021.
The application to Lincolnshire County Council would include a sidetrack from the existing Biscathorpe-2 well. It would also seek permission for appraisal and long-term production.
The company said the details would be given to the site’s community liaison group this evening. A virtual consultation would be planned before the application was submitted, the company said.
The statement said the drilling target would be a” thickened Westphalian sandstone reservoir interval”. It would also target oil in the Dinantian Carbonate, the company said.
The Biscathorpe-2 well, drilled in early 2019, failed to find its target.
Environmental impact assessment
Egdon’s Biscathorpe site is in the Lincolnshire Wolds Area of Outstanding Natural Beauty. It is also close to a tributary of the River Bain, a nationally-important chalk stream.
Lincolnshire County Council ruled that Egdon would need to carry out an environmental impact assessment for the proposal. This is a detailed review of the effects of the development submitted in an environmental statement as part of the application.
The council concluded that Egdon’s plan “introduces potential risk of significant impacts on ‘sensitive areas'” and is “likely to have significant effects on the environment”.
Egdon Resources said the environmental statement would allow it to “identify and address any potential environmental impacts arising from the proposed activity.”
The managing director of Egdon Resources, Mark Abbott, 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 holds 35.8% in the Biscathorpe licence, PEDL253. Another partner, Union Jack Oil, which has a 30% stake, said:
“We consider Biscathorpe to be a key, potentially high-impact project within our well balanced portfolio. PEDL253 remains, in the opinion of the Company’s management, one of the UK`s largest onshore un- appraised conventional licences.”
DrillOrDrop will report on reaction to Egdon’s plans and follow the application through the planning process.
Updated to include information from Lincolnshire County Council’s screening opinion