Midmar Energy UK Ltd has received planning permission from Kent County Council to drill two appraisal wells and to carry out a 90 day Extended Well Test in Bidborough, Kent.

The proposed site is located within PEDL 248 licence which Midmar obtained in 2008 in the 13th UK Landward Licensing Round. Midmar's Geoscientists have re-assessed the previous regional well records as well as reviewing and interpreting seismic data that is available. The existing information shows the presence of hydrocarbons and the company have concluded that there is a strong potential for recoverable hydrocarbons utilising enhanced recovery techniques. The proposed wells will test prospects identified during a drilling campaign by Conoco in 1981, which had oil shows.

Extensive research was carried out by Midmar to ensure the most suitable site location was selected. Independent experts were used to assess a variety of areas to ensure that the proposals were acceptable, in association with consulting interested parties.

Midmar is committed to maintaining the highest standard of operations and will continue to maintain high levels of environmental standards and best practices in health and safety it has demonstrated in all of its operations.

Preparatory work for the site and operations will begin shortly and work will start on the construction of the site later this year, with drilling in the first quarter of 2011.

The company's objectives for this appraisal wells are: • To establish whether there are commercial quantities of hydrocarbons in the prospect. • To gain knowledge of the geology of this oil deposit and also contribute to the general understanding of the UK geology. • To establish how hydrocarbons could be sympathetically developed if commercial quantities are found.

The planning application is for a temporary drilling site, which will allow Midmar to gain further information on the prospect and develop a better understanding as to its characteristics. It will consist of four main stages: • Site Construction • Drilling • Extended Well Test • Site Restoration

Tags: Midmar Energy Ltd