Completion of Horse Hill Disposal

RNS Number : 7743B

Solo Oil Plc

25 September 2018

 

FOR IMMEDIATE RELEASE                                                                       

25 September 2018

SOLO OIL PLC

("Solo" or the "Company")

Completion of Horse Hill Disposal &

Acquisition of UKOG shares

Solo (AIM: SOLO), the natural resources investment company focused on acquiring and developing a diverse global non-operated portfolio of strategic oil and gas assets, today confirms the completion of the sale and purchase agreement ("SPA") to dispose of its entire 15% interest in Horse Hill Developments Limited ("HHDL") to UK Oil and Gas plc ("UKOG") for a total cash consideration of £4.5 million together with a simultaneous purchase of 234,042,221 new ordinary share in UKOG equivalent to a 4.2% interest in UKOG. 

For a total consideration of £4.5 million UKOG agreed to acquire Solo's 15% shareholding and loan in HHDL. With an effective date of 28 August 2018, the total consideration will be satisfied through the issue of 234,042,221 new ordinary shares in UKOG ("Consideration Shares"). The Consideration Shares are due to be admitted to trading on AIM by 28 September 2018.

Solo now holds a 4.2% of the issued share capital of UKOG which will hold a 71.9% interest in HHDL which in turn holds a 65% interest in two onshore UK petroleum exploration licences, PEDL 137 and PEDL 246, which contain the Horse Hill oil discovery. In addition UKOG has interests in a further 6 licences located predominantly in the Weald Basin, onshore United Kingdom.

Solo's Managing Director, Dan Maling, commented:

"We are pleased to announce the close of this transaction ahead of the key Kimmeridge testing phase at Horse Hill. Solo remains a supporter of the project as we continue our exposure through our 4.2% stake in UKOG. We look forward to more updates from UKOG as the well testing continues."

For further information:

Solo Oil plc Dan Maling	[phone]
Beaumont Cornish Limited Nominated Adviser Roland Cornish / Rosalind Abrahams / Felicity Geidt	[phone]
Shore Capital Broker Jerry Keen Buchanan (PR) Ben Romney / Chris Judd / Henry Wilson	[phone] [phone]

Notes to Editors:

Solo Oil plc

Solo is a natural resources investment company with a diverse portfolio of onshore assets, principally in Europe and Africa. The Company seeks to deliver returns through early stage investment in promising projects and uses management's own sector expertise to assist in strategic asset development. Solo's portfolio currently includes extensive interests in the prolific Ruvuma Basin in Tanzania, Helium One Limited, the Tanzanian helium exploration company, and Kiliwani North, a natural gas producing project in Tanzania. Solo also owns 4.2% in AIM listed UK Oil & Gas Limited.  

 

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