UK Oil & Gas plc has submitted its “retrospective” planning application to resume production at the Horse Hill oil field near Gatwick in Surrey.
STUDIES
The company halted operations following the Supreme Court’s 2024 ruling, which stated that environmental impact assessments must include Scope 3, or end use, emissions from produced fossil fuels.
UKOG, which holds an 85.635% operated interest in the Horse Hill field, originally received permission in 2019 for production at the site.
Following suspension of production in October 2024, UKOG began discussions with Surrey County Council on the new application targeted for the first half of 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,” said UKOG today.
Chief executive officer Stephen Sanderson added that the “retrospective” application sought to address the court ruling 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.”
Joint venture partner Alba Mineral Resources plc, focused on metals and minerals in Wales, Greenland and Sweden, holds an 11.765% interest in Horse Hill.
FINANCES
UKOG also resumed trading today following publication of its annual audited accounts.
For the financial year ended 30 September 2025, the company posted a decrease in group revenue to £400,000 (2024: £1.1 million), from crude oil sales at the Horse Hill and Horndean fields.
The decrease follows the suspension of production in November 2024 at Horse Hill.
Cost of sales totalled £400,000 (£900,000), including depletion, depreciation and amortisation charges of £300,000 (2024: £400,000), which resulted in a gross loss of £200,000 (2024: £200,000).
Administrative expenses increased to £2.6m (£1.7m), which reflected the group’s move towards hydrogen storage projects, and a £500,000 charge “in respect of the decommissioning provision following a reassessment of estimates”.
Cash and cash equivalents totalled £400,000 (£1m).