3 August 2021

IOG plc

Phase 1 Drilling Campaign: Blythe Development Well Spud

IOG plc (IOG, or the Company), (AIM: IOG.L), the UK gas company targeting growth and high returns via an infrastructure-led hub strategy, is pleased to announce the spudding of the Blythe development well.

Following Elgood, Blythe is the second development well in IOG's Phase 1 project and is expected to take under three months to drill and complete, after which the rig will move on to Southwark.

The Noble Hans Deul jack-up rig mobilised from the Elgood field location on 27 July and jacked up at the Blythe Platform on 29 July. After preparations for drilling the Blythe well spudded at 2300 hrs on 2 August.

Andrew Hockey, CEO of IOG, commented: 

"We are pleased to have moved safely over from Elgood to spud the next development well at Blythe, another important step for IOG in delivering our Phase 1 project. The Blythe well has been meticulously planned by the IOG drilling, subsurface, subsea and HSE teams in collaboration with our main drilling contractors Noble Corporation, Petrofac and Schlumberger, our Platform Duty Holder ODE Asset Management and our partner CalEnergy Resources (UK) Limited and fully integrates the learnings from the Elgood well. We have a very clear collective focus on ensuring safe and efficient performance leading successfully to First Gas in Q4 2021 from the Blythe Hub before continuing into 2022 at Southwark."

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the company's obligations under Article 17 of MAR.

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About IOG:

IOG owns and operates a 50% stake in substantial low risk, high value gas reserves in the UK Southern North Sea. IOG's 50% Joint Venture partner is CalEnergy Resources (UK) Limited (CER). The Company's Core Project targets a gross 2P peak production rate of 140 MMcfe/d (c. 24,000 Boe/d) from gross 2P gas reserves of 302 Bcfe¹ and management estimated 2C gas Contingent Resources of 132 Bcfe, via an efficient hub strategy based on co-owned infrastructure. In addition to its 2P reserves at Blythe, Elgood, Southwark, Nailsworth and Elland and 2C contingent resources at Goddard, it has management estimated gross 2C contingent resources of 23 Bcfe at Abbeydale and unrisked mid-case prospective resources of 66 Bcfe at Thornbridge, 31 Bcfe at Southsea, 31 Bcfe at Kelham, 27 Bcfe and 16 Bcfe in the two Goddard flank structures, and 21 Bcfe at Harvey. In December 2020 IOG also accepted a 50% operated stake in Licence P2589, containing the Panther and Grafton gas discoveries with management estimated gross mid-case contingent resources of 46 Bcfe and 35 Bcfe respectively. In addition IOG continues to pursue value accretive acquisitions to help generate significant shareholder returns.

¹ERC Equipoise Competent Persons Report: October 2017, adjusted by Management to account for updated project timing and compression