Issue of Equity

RNS Number : 4787R

Silvermere Energy PLC

04 November 2011

 



4 November 2011

Silvermere Energy plc

("Silvermere" or "the Company")

Issue of equity

Silvermere, the independent oil and gas company with assets in the USA, announces that it has today issued 230,400 Ordinary Shares and 230,400 warrants in satisfaction of certain fees amounting to £57,600. The shares and warrants are issued on the same terms as for the admission placing which is 25p per unit, each unit consisting of one ordinary share and one warrant exercisable at 30p.

Application has been made for the 230,400 Ordinary Shares to be admitted to trading on AIM and dealings are expected to commence on 11 November 2011. Following the issue of these shares, the Company will have 18,584,591 Ordinary Shares in issue. 

-ENDS-

For further information please contact: Silvermere Energy plc Andy Morrison, Chief Executive	[phone]
Merchant Securities Limited (Nominated Adviser and Broker) Lindsay Mair/Virginia Bull Rivington Street Corporate Finance Limited Jon Levinson/Dru Edmonstone	+ 44(0)20 7628 2200  [phone]
Bishopgate Communications Nick Rome/Shabnam Bashir	[phone]

About Silvermere Energy Plc

The Company acquired its interest in the Mustang Asset on 30 August 2011.  This comprises a 33.33 per cent. working interest and 20.83 per cent. net entitlement interest in the Mustang License Area, an area within the southern half of the north west quarter and northern half of the south west quarter of the Block 818-L field as defined in State of Texas Oil and Gas Lease numbers 108873 and 108874. The Mustang Island 818-L field, located in Kleberg County waters of the Gulf of Mexico, is a field re-habilitation project targeting bypassed or only partially produced gas-condensate.

Early in 2011 the Hercules Offshore 205 jack-up rig was contracted to re-enter the I-1 Well on the Mustang License Area which was considered to be the most likely of the historic well sites to provide 14 optimum re-entry conditions. The I-1Well re-entry and side-tracking operation was completed in March 2011 leaving it ready to complete in sand horizons I-1 to I-6. Production and flow testing was carried out during June 2011. The well re-entry programme was led by Dominion as the operator. Gas and oil produced from the I-1Well is proposed to be connected to pipeline infrastructure and tied in via a subsea tree, constructed for the purpose and then transported to the Six Pigs gas facility.

Silvermere's strategy is to acquire a portfolio of US oil and gas license interests onshore and in shallow offshore waters, characterised by relatively low risk and low cost with the potential for near term production.

Silvermere is quoted on the AIM Market of the London Stock Exchange plc (AIM: SLME) with its offices in London.

 

END

 

 

IOEDKNDNABDDFDK