{"id":634554,"date":"2026-06-12T08:59:13","date_gmt":"2026-06-12T08:59:13","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/634554\/"},"modified":"2026-06-12T08:59:13","modified_gmt":"2026-06-12T08:59:13","slug":"uk-oil-gas-agrees-1-million-horse-hill-sale-to-complete-exit-from-uk-onshore-production-ukog","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/634554\/","title":{"rendered":"UK Oil & Gas Agrees \u00a31 Million Horse Hill Sale to Complete Exit from UK Onshore Production (UKOG)"},"content":{"rendered":"

\"oil oil pump dusk NEW SIZE \u00a9PickPik Horse Hill Disposal Marks Strategic Turning Point <\/p>\n

UK Oil & Gas PLC (LSE:UKOG) has agreed to sell its entire 85.635% interest in the Horse Hill oil field and the associated PEDL137 licence to London Aquis-listed energy B PLC for \u00a31 million in cash.<\/p>\n

The transaction remains subject to regulatory approvals and shareholder approval from energy B. Once completed, the disposal will effectively mark UKOG\u2019s exit from the UK onshore oil and gas sector as the company redirects its focus towards energy storage and international opportunities.<\/p>\n

Sale Includes Majority Interest in Horse Hill Assets <\/p>\n

The transaction covers UKOG (137\/246) Ltd, which owns a 35% working interest in the Horse Hill field and the PEDL137 licence area.<\/p>\n

It also includes UKOG\u2019s 77.9% holding in Horse Hill Developments Ltd, representing an additional 50.635% working interest in the project. Together, these interests comprise the company\u2019s entire economic exposure to the Horse Hill asset.<\/p>\n

The disposal forms part of a broader strategic repositioning designed to concentrate resources on future growth areas outside conventional UK onshore hydrocarbon production.<\/p>\n

Capital to Be Redirected Towards Energy Storage Projects <\/p>\n

Management intends to deploy the proceeds from the sale into its developing portfolio of UK salt cavern energy storage projects, as well as a number of international energy opportunities currently under evaluation.<\/p>\n

The company believes the move will enable greater focus on projects aligned with long-term energy infrastructure and transition-related themes while simplifying its operational portfolio.<\/p>\n

Transaction Realises Value from Impaired Asset Base <\/p>\n

As of 30 September 2025, UKOG carried its Horse Hill interests on its balance sheet at a value of \u00a355,360 following a series of impairments.<\/p>\n

The company reported an aggregate loss of approximately \u00a31.55 million associated with the assets, meaning the sale crystallises value from a field that had become both impaired and loss-making.<\/p>\n

Management views the transaction as an opportunity to release capital, reduce operational commitments and allocate resources to projects with stronger future growth potential.<\/p>\n

More About UK Oil & Gas <\/p>\n

UK Oil & Gas PLC is an AIM-listed energy company that has historically focused on onshore oil and gas exploration and production within the United Kingdom. The company became best known for its involvement in the Horse Hill field and associated licences in southern England.<\/p>\n

In recent years, UKOG has been reshaping its strategy towards energy storage and international energy developments, with a particular focus on UK salt cavern storage projects and opportunities that support evolving energy infrastructure requirements.<\/p>\n","protected":false},"excerpt":{"rendered":"oil pump dusk NEW SIZE \u00a9PickPik Horse Hill Disposal Marks Strategic Turning Point UK Oil & Gas PLC…\n","protected":false},"author":2,"featured_media":634555,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[22650,59,57,58,214631,214634,50,56,214633,214632,54,55],"class_list":["post-634554","post","type-post","status-publish","format-standard","has-post-thumbnail","category-united-kingdom","tag-energy-storage","tag-gb","tag-great-britain","tag-greatbritain","tag-horse-hill","tag-international-opportunities","tag-news","tag-uk","tag-uk-oil-gas-plc","tag-ukog","tag-united-kingdom","tag-unitedkingdom"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/634554","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/comments?post=634554"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/posts\/634554\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media\/634555"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/media?parent=634554"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/categories?post=634554"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/uk\/wp-json\/wp\/v2\/tags?post=634554"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}