Ann: UK Southern Gas Basin - Operational Update, page-26

There are no surprises in this announcement. Go back through the threads, we have been posting about Labours policy for at least a week. Even when it was announced HHR was at 2.2 and stayed at 2c through to the 18th of February. There was time to get out if you wanted out!

Labours Policy is so brutal to O&G developments that virtually no new fields will be developed under their current policy. Labour have forecast a decline in new developments of 12.5% compared to Industry forecasts of a 75% decline. It is up to the industry to lobby against these changes and their affect on employment, taxes, energy security etc. HHR/RR will not be the only project to be deferred or cancelled.

As @aero39 said HHR needs cut costs as much as possible to preserve their capital. Even if HHR is awarded new licenses there is little point advancing them as the projects would not be viable under Labours current policy. At least HHR has enough cash for now to avoid a CR.

I'm holding but only because I can only lose 0.7 cps now vs the possibility that Labour provides taxation surety to HHR/RR that the project will be sanctioned under the current EPL regime. (i.e. 75% EPL, 91% Investment Allowance)