Share price movement/press speculation

RNS Number : 1597O

Bahamas Petroleum Company PLC

30 September 2019

 

30 September 2019

Bahamas Petroleum Company plc

("Bahamas Petroleum" or the "Company")

Statement re share price movement/press speculation

Bahamas Petroleum, the oil and gas exploration company with significant prospective resources in licences in The Commonwealth of The Bahamas, notes the movement in the Company's share price and recent press speculation relating to a potential fundraising transaction by way of an equity placing.

The Company has previously advised that it is considering a range of potential funding options, in order to finance the drilling of an initial exploration well in The Bahamas in 2020, and which the Company has previously indicated will require total funding in the order of $20 million - $25 million.

At the AGM on 17 September 2019, shareholders passed a number of special resolutions designed to provide the Board with the flexibility to enter into a range of possible funding arrangements, as and when required and if considered to be in the best interests of the Company. Of the various options available, the Company has thus far entered into a £10.25m ($12.5m) conditional convertible loan note agreement to enable funds to be available for draw-down, which would provide access to approximately half the funding required for the initial exploration well. The Company has also received four other funding proposals (some of which individually but certainly all in aggregate, if contracted and fully drawn-down, would cover the anticipated cost of the well), as well as multiple other expressions of interest. In addition farm-out discussions continue.

As part of this ongoing process, the Company confirms that it has spoken to a number of existing and potential investors and continues to do so, alongside speaking to providers of alternative sources of capital. No decision has as yet been taken as to the funding package that the Company will enact, and the quantum and structure of any funding package will depend on the terms offered and what the Board of the Company considers to be in the best interest of shareholders.

As noted in previous announcements, the Company is confident that it will be able to implement a suitable financing package, and will make further announcements as appropriate in due course.

For further information, please contact:

Bahamas Petroleum Company plc Simon Potter, Chief Executive Officer	Tel: [phone]
Strand Hanson Limited - Nomad Rory Murphy / James Spinney	Tel: [phone]
Shore Capital Stockbrokers Limited  Jerry Keen / Toby Gibbs	Tel: [phone]
CAMARCO Billy Clegg / James Crothers	Tel: [phone]

www.bpcplc.com

 

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