Horse Hill – Retrospective Planning Application

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014, as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018. Upon publication of this announcement, this information is now considered to be in the public domain.

UK Oil & Gas PLC
("UKOG" or the "Company")

Horse Hill - Retrospective Planning Application

UK Oil & Gas PLC (London AIM: UKOG) is pleased to announce that it has submitted a retrospective planning application for its Horse Hill oil field to Surrey County Council ("SCC") which seeks to fully restore the field's production consent which was originally granted by SCC in 2019 (see RNS of 11^th September 2019 and 20^th June 2024 ). The Company holds an 85.635% operated interest in the Horse Hill field.

The requirement to submit a retrospective planning application, a unique and unprecedented regulatory situation, results wholly from the Supreme Court's 20^th June 2024 judgement in Finch vs. SCC, which found that SCC's 2019 decision to grant Horse Hill planning consent for oil production was unlawful, SCC having failed to assess end‑use greenhouse gas emissions associated with the combustion of produced hydrocarbons. The retroactive judgement required end-use downstream emissions be assessed within the project's Environmental Impact Assessment and that SCC's planning determination should be remade taking this into account.

Following the judgement, the Company entered into discussions with SCC regarding the field's operational status and the most appropriate route to achieve the necessary planning redetermination. As part of that process, and after a period of ongoing engagement with SCC and other regulators, the Company agreed to voluntarily suspend oil production with effect from Friday 25 October 2024, with the aim of submitting a retrospective planning application in H1 2026.

The Company has worked closely with its planning advisors and SCC to prepare the revised planning submission, which includes updated ecology, environmental and technical baseline studies and an assessment of downstream emissions in accordance with the Supreme Court judgment.

A successful planning outcome would permit stable production at Horse Hill to resume, generating valuable revenues which would help support the Company's ongoing transition to its announced clean energy projects in Dorset and Yorkshire.

Stephen Sanderson, UKOG Chief Executive, commented:

"This retrospective planning submission seeks to address the Supreme Court's ruling on SCC's 2019 Horse Hill planning consent in a thorough and transparent manner. Horse Hill remains a valuable UK onshore asset and, subject to planning consent, has the potential to generate revenues that can be responsibly reinvested to support the Company's strategic transition towards hydrogen storage and other clean energy initiatives. The Company continues to pursue a balanced approach, managing its legacy oil and gas assets while actively investing in the UK's energy transition and clean power future."

For further information, please contact:

UK Oil & Gas Plc

Stephen Sanderson / Kris Bone / Guzyal Mukhametzhanova                                   Tel: 01483 941493

Zeus (Nominated Adviser and Broker)                                                                

James Joyce / Andrew de Andrade                                                                                Tel: 020 3829 5000

CMC Markets (Joint Broker)

Douglas Crippen                                                                                                                Tel: 0203 003 8632  

Communications  

Brian Alexander                                                                                                                 Tel: 01483 941493