Petrichor increases interest in Egdon Resources

RNS Number : 0849W

Egdon Resources PLC

30 July 2018

 

            30 July 2018

EGDON RESOURCES PLC

 ("Egdon" or "the Company")

Petrichor acquires increased interest in Egdon Resources

Egdon Resources plc (AIM:EDR) notes the following  

·      The press release made today by Infinis Energy Services ("Infinis") (100% owner of Alkane Energy Limited ("Alkane") confirming the completion of its sale to Petrichor Holdings Coöperatief U.A ("Petrichor") of 35,870,487 Egdon Ordinary Shares held by Alkane (representing 13.797 per cent. of the issued share capital of the Company) and the placing by VSA Capital ("VSA") to an institutional investor of a further 4,129,513 Ordinary Shares (representing 1.588 per cent of the issued share capital of the Company);

·      The effective price of the transactions was 12.8 pence per ordinary share (representing a 22% premium over the Company's closing mid-price of 10.5 pence per share on 27 July 2018);

·      The TR-1 Notification filed by Infinis confirming it no longer holds an interest in the Company; and

·      The TR-1 Notification filed by Petrichor confirming it has acquired further shares in Egdon raising its interest to 29.99 per cent (77,969,448 Ordinary Shares).

Alkane originally acquired its 40,000,000 Ordinary Shares in Egdon in exchange for the sale of its shale exploration acreage to the company which was completed in June 2014.  The HEYCO Energy Group Inc (of which Petrichor is a subsidiary) has held shares in the Company since 2009.

The issued share capital of Egdon consists of 259,984,822 ordinary shares of 1 pence each with voting rights. No Shares are held in treasury. Therefore, the total number of voting rights in the Company is 259,984,822.

Mark Abbott, Managing Director of Egdon Resources plc, said:

"This further investment by Petrichor, an existing long-term and supportive shareholder in the Company, and at a significant premium to our current share price, represents a considerable vote of confidence in Egdon's business model and the potential of our assets."

For further information please contact:

Egdon Resources plc

Mark Abbott                                                                                    01256 702 292

Buchanan

Ben Romney, Chris Judd                                                                  020 7466 5000

Nominated Adviser and Broker - Cantor Fitzgerald Europe               

David Porter/Nick Tulloch (Corporate Finance)                                    020 7894 7000

Caspar Shand Kydd / Alex Pollen (Sales)

Joint Broker - VSA Capital Limited

Andrew Monk (Corporate Broking)                                                     020 3005 5000

Andrew Raca (Corporate Finance)

Notes to Editors:

Petrichor is a 100% owned subsidiary of HEYCO Energy Group, Inc. ("HEYCO") a privately-owned exploration and production company, with offices in Roswell, New Mexico and Dallas, Texas. 

The president and CEO of HEYCO is George Yates.  The Yates family of south eastern New Mexico has been active in the oil and gas industry since the 1920s.  In 1924, Martin Yates Jr. drilled the first commercial oil well in New Mexico, in what would become the energy-rich Permian Basin. For several decades, HEYCO operated in the Permian Basin, specifically in the Delaware Basin, with lease positions in all of the headline horizontal plays.

In early 2015, HEYCO Energy Group's subsidiary, Harvey E. Yates Company, was acquired by Matador Resources for an equity position in the company. HEYCO Development Company focuses on non-operated projects in New Mexico, East Texas, and Wyoming.

Various subsidiaries of HEYCO Energy Group have been involved in international exploration for more than 20 years, having operated exploration projects in England, Spain, and Morocco. The company currently holds non-operated interests in England, Spain and France.

HEYCO has been a long-term shareholder in Egdon. HEYCO was part of the group that discovered the Avington field in southern England in 2007 with Egdon acquiring HEYCO's interest in the field for shares in 2009.  

Egdon Resources plc (LSE: EDR) is an established UK-based exploration and production company focused on onshore exploration and production in the hydrocarbon-producing basins of the UK. 

Egdon holds interests in 44 licences in the UK and has an active programme of exploration, appraisal and development within its portfolio of oil and gas assets.  Egdon is an approved operator in the UK. 

Egdon was formed in 1997 and listed on AIM in December 2004.

In accordance with the AIM Rules - Note for Mining and Oil and Gas Companies, the information contained in this announcement has been reviewed and approved for release by the Managing Director of Egdon Resources plc Mark Abbott, a Geoscientist with over 30 years' experience. 

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR"). Upon the publication of this announcement via Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain.

 

END

 

 

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