UK Oil & Gas PLC (LON:UKOG) has welcomed the dismissal of a legal challenge to the planning permission for its Horse Hill oil field in Surrey.
"The written judgement rejects the challenge's three grounds and, therefore, the company's production planning consent remains in full force," UKOG said in a statement.
The case claimed that, in granting permission, Surrey County Council failed to assess the impact of greenhouse emissions from the use of the oil produced.
Mr Justice Holgate, however, concluded that the council acted within EU and Town and Country Planning Act environmental impact assessment guidelines and that other indirect environmental effects fall under other dedicated environmental regulatory regimes.
The judge added that a successful challenge would have had far-reaching implications on the need to assess all indirect carbon emissions "generally resulting from the use or consumption of end products emanating from any development" and not just those from an oil production site.”
Stephen Sanderson, chief Executive of UKOG, said in a statement afterwards: "This is a victory for law and common sense. Justice Holgate made it abundantly clear in his judgement that the courts are not responsible for making political, social, or economic choices.”
UKOG owns 85.635% of the Horse Hill oil field.