Solo Oil & Gas (LON:SOLO) revealed it is part of consortium that has applied for a licence to explore the Isle of Wight for oil.
The company - along with Angus Energy and UK Oil & Gas Investments (LON:UKOG) - has applied for the acreage covering the southern part of the island through the Department of Energy and Climate Change’s (DECC) 14th Landward Licence Round.
The area matches well with offshore acreage already held by UKOG.
It is believed that a large undrilled exploration prospect extends into the onshore area, which itself is thought to contain other prospects as well.
Should the application be successful Solo would have 30% of the venture, Angus would be the operator, though it wouuld have just 5%, and UKOG would own the remaining 65%.
“The 14th round presented a number of conventional oil prospects and we are pleased to extend our collaboration with Angus and UKOG into this area," said Solo chairman Neil Ritson.
Ritson added that the potential project is in line with Solo’s investment strategy, which targets attractive opportunities in Europe and Africa.
All three partners are participants in the ongoing Horse Hill project, onshore UK, where an oil discovery was announced last week and drilling continues down to deeper gas prospects.