Formal plans have been submitted for a new Lincolnshire oil site that could produce up to 90,000 tonnes a year.
IGas said in a statement this morning the application for an additional wellsite at its Glentworth oil field was awaiting validation by Lincolnshire County Council.
The company previously revealed that the scheme would comprise a new well site and access track, a vertical exploration well drilled to 3,000m and up to seven horizontal development wells. It said the new site could extract up to 90,000 tonnes of oil a year and, if commercially viable, could operate for up to 21 years.
In August 2022, Lincolnshire county council ruled that the Glentworth planning application would not need an environmental impact assessment.
The Glentworth oil field, between Market Rasen and Gainsborough, was discovered in 1961. Records by the industry regulator show that oil has been produced at Glentworth, since 2011. In 2021, these wells, also operated by IGas, produced a total of 5,205 tonnes of oil.
The proposed site is on the eastern edge of the shale gas areas identified by the British Geological Survey.
DrillOrDrop will report on the planning application when it is published.
IGas also reported today it had carried out a production drive in October 2022.
Interim executive chairman, Chris Hopkinson, said:
“We are focused on putting cash generated during high commodity prices to work into maximising recovery from our existing assets and developing near term incremental production opportunities as well as growing our nascent geothermal business into a material enterprise.”
The statement said 18 offline wells had been returned to production. Two wells had been converted from jet pump to beam pumps. Operating costs had been cut and water injection capacity increased. The number of operational rigs had risen from three to five.
IGas said it remained on track to meet its annual production forecast of 1,900-1,950 barrels of oil equivalent per day (boepd).
The company also said it had restructured its executive committee to “enable improved strategic planning and more efficient decision making”.