Egdon Resources (LON:EDR) and Union Jack Oil (LON:UJO) are increasing their interests in the North Kelsey project, in Lincolnshire, where drilling is planned in the early part of 2016.
Together the partners are acquiring the 50% held by Celtique Energie, with Egdon increasing its stake to 80% from 40%, while UJO’s increases to 20%.
These additional interests are being acquired for a nominal consideration and without promote, the companies said.
Planning consent was granted for a well at North Kelsey in December, though the operations are constrained by certain planning conditions and as a result the companies expect work to start during the first quarter of 2016.