logo-loader

TomCo Energy lands all permits for Utah project

Published: 17:12 17 Jul 2015 AEST

RedLeaf,_eco_shale,_sized-referenced
EcoShale: 'Capsules' built from shale rocks are heated to extract hydrocarbons

TomCo Energy (LON:TOM) today confirms it has reached its key strategic goal for the Holliday Block shale oil project in Utah.

The company today revealed it has received a ground water discharge permit (GWDP) and a construction permit (CP), which add to the already secured large mining operation (LMO) permit.

As a result it now has all necessary permits to take Holliday Block into production and development.

Tomco has, however, previously taken a strategic decision to wait for a nearby project to prove key extraction technology at a separate shale oil project.

The plans for the Holiday Block are based on EcoShale technology, a process developed by Red Leaf Energy which has an proof-of-concept commercial scale project underway.

Red Leaf, which is partnered by Total, is using the EcoShale process which involves the extraction (or mining) of oil bearing shale ‘in capsule’; the oil is subsequently gathered via a subsequent heating process.

Earlier this year Red Leaf revised the development timeline for its project, which effectively meant a two year delay to finding out the key commercial results.

TomCo has previously committed not to proceed with Holliday Block, beyond permitting, until the outcome of Red Leaf’s project is known. As result, the AIM-quoted company decided to restructure and slim-down its cost base in the meantime, and it recently said it may seek mergers and acquisition opportunities.

Paul Rankine, chief executive, revealed in May that he had handed in three months’ notice and said he would be leaving the company.

Chief financial officer Miikka Haromo, in today’s statement, said: "The approval of the ground water discharge permit and the construction permit is a major milestone for TomCo, as we now have the same major Utah State permits currently held by Red Leaf.

“This paves the way for our Holliday Block to move into full development.

“We now eagerly wait for the results of Red Leaf's nearby early production system capsule."

Australian Strategic Materials signs US$600 million LoI

Rowena Smith, CEO and managing director of Australian Strategic Materials Ltd (ASX:ASM, OTC:ASMMF), joins Jonathan Jackson in the Proactive studio to discuss the company’ s Dubbo Project, in Central West New South Wales. This project aims to extract and process critical minerals and rare earth...

3 hours, 59 minutes ago