U.S. Oil & Gas Plc announced three applications to drill wells in Hot Creek Valley, submitted by the company to federal authorities, are still in process.  The required bonds have been lodged for two wells.  After permits are awarded, the company will drill as soon as the availability of service and equipment vendors  allows.  Preparatory planning is advanced, meaning contracts and schedules can be finalised without undue delay. The planned wells target updip of US Oil’s discovery well Eblana-1.  Two of the planned wells (Eblana-1a and Eblana-3) target updip Tertiary zones with the option of drilling deeper to the Paleozoics, also believed prospective. Eblana-3 and Eblana-6 are vertical wells. Eblana-1a is deviated and would be drilled from the existing Eblana-1 well pad.  The company’s view at this time is that it will drill Eblana-3 first, deciding on subsequent operations in the light of results. The required cultural survey has been successfully completed. Groundworks and vendors: Groundworks, including road improvements, drill pad construction and access ways, will commence as soon as practicable after permits are awarded. On the granting of permits, contracts will be finalised and scheduling  agreed with a drilling contractor and other vendors, including rig transportation, cement and mud companies. Further details will be announced as soon as a spud date is fixed. In order to extend the company’s understanding of possible hydrocarbon-bearing structures  in Hot Creek Valley, the 2016 and 2017 Soil-Gas surveys were further extended.  In the earlier surveys,  184 sites were sampled,  the majority in the areas of Eblana-1 and the proposed Eblana-3 and Eblana-6 well sites.  In recent weeks  an additional 125 sites have been sampled covering the entire concession area.  The expanded survey will evaluate previously unexplored areas and will shed further light on the potential of areas earlier showing promise.  Analysis and the integration of the data into the geological models is currently underway.  Preliminary results indicate a high potential for hydrocarbons throughout the Hot Creek Valley concession and confirms the company’s view that its leases cover a major oil system. The company  is currently carrying out further geological modelling studies based on all data collected to date, focussing on the wider concession area.  The purpose is to inform a comprehensive exploration plan aimed at identifying all significant potential hydrocarbon-bearing structures on its Hot Creek Valley leases. This planning underpins a strategy aimed at developing the necessary corporate, technical and resource capabilities to fully explore and develop the asset.