Angus Energy's shares are sliding after a planning application mishap

 
Courtney Goldsmith
Follow Courtney
Angus said it had received all regulations needed to continue production at the Brockham site
Angus said it had received all regulations needed to continue production at the Brockham site (Source: Angus Energy/Vimeo)

Shares in Aim-listed oil firm Angus Energy tumbled more than 15 per cent today after the company said it would submit a planning application for a well that the government had already given the green light.

Earlier this week, Angus said it had received final regulatory consent to begin production at the site from the UK's Oil and Gas Authority (OGA).

However, in an update today, the company said it had received a letter from the Surrey County Council asking it to submit a planning application for the operations at the Brockham oil field.

Angus has previously said its Brockham well could produce even more than UK Oil and Gas Investments' lauded Gatwick Gusher.

Shares in the company fell 15.91 per cent to 27.75p in afternoon trading.

Angus said the letter was the first formal request or notice it had received from the council and that guidance remained unchanged.

The board decided the application was a "prudent and pragmatic step" in the best interests of all stakeholders and submitted a normalisation application for the continued surface activities at the site.

The board said:

The board of Angus Energy does not take any decision concerning our shareholders lightly. We are confident our actions today have been given thoughtful consideration and fully expect this intermediate step to have minimal impact on our current business plan.

We look forward to continued communication and cooperation between Angus Energy and the Surrey County Council.

It reiterated that it has all the required permissions from all of its regulators to continue production at the field, including the Kimmeridge layers and it had not relinquished any rights of further options at its disposal to protect shareholders.

Read more: Angus Energy's Brockham well could produce more than the Gatwick Gusher

Related articles