LONDON (ShareCast) - The UK government has granted final approval to Horse Hill Developments (HHDL) to proceed with the drilling of the Horse Hill -1 well at Horse Hill in Surrey, Solo Oil announced on Wednesday.

The London-listed company is legally bound to own a 10% share in HHDL, which owns a 65% part participating interest and operatorship of onshore licence PEDL137 in the UK Weald Basin, while Magellan Petroleum Corporation holds a 35% interest.

Civil works on the Horse Hill site, which is situated just three km away from Gatwick airport, began at the beginning of March and the well, designed to test a number of promising gas and oil targets, was expected to be completed by the end of August but adverse weather has delayed construction works.

"Recent heavy rainfall in the area has delayed the completion of site construction works," said Neil Ritson, Solo's Executive Director.

"The concrete cellar is on-site and is ready to install once the ground conditions allow. We are therefore looking forward to spudding of this important Horse Hill-1 well shortly."

Solo's shares registered a 4.59% increase and were 0.01p at 15:57 on Wednesday.

DC

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