Horse Hill Equipment Purchase Completed

RNS Number : 2674T

UK Oil & Gas PLC

16 July 2020

 

UK Oil & Gas PLC

("UKOG" or the "Company")

Horse Hill Equipment Purchase Completed

UK Oil & Gas PLC (London AIM: UKOG)  is pleased to announce that, per the announcement of 4 June 2020, it has completed the purchase of the Horse Hill surface production equipment ("Equipment") from PW Well Test Ltd ("PW"). Full title to the Equipment has now transferred to UKOG.

Transaction Summary

The Company acquired the Equipment from PW for £1.65 million via three equal instalments of £550,000 as follows:

-  Initial instalment payable upon signature of the asset purchase agreement via equal amounts of cash and UKOG shares. 

-      Two further instalments at 6-monthly intervals, or earlier at UKOG's discretion. Each payment either wholly in cash, or wholly in shares, or part cash/part shares, each at UKOG's sole discretion.

-      In the case of payment via shares, the number of shares issued to PW shall be determined using the 5-day volume weighted average price ("VWAP") of UKOG ordinary shares on the day prior to the instalment payment date.

The initial payment of £550,000 has now been made to PW, comprising £275,000 in cash and £275,000 via the issue of 131,014,769 UKOG shares ("Consideration Shares") at 0.2099p per share, representing the 5-day VWAP at market close on 7^th July, the day prior to the completion date.

Share Admission and Settlement

Application will be made for the Consideration Shares to be admitted to trading on the AIM market ("AIM") of London Stock Exchange plc ("LSE") of the shares ("Admission"). Admission is expected to occur on or around 20 July 2020. Following Admission, the Company will have 11,099,385,057 Ordinary Shares in issue. There are no shares held in treasury. The total voting rights in the Company is therefore 11,099,385,057 and Shareholders may use this figure as the denominator by which they are required to notify their interest in, or change to their interest in, the Company under the Disclosure Guidance and Transparency Rules.

For further information, please contact:

UK Oil & Gas PLC
Stephen Sanderson / Kiran Morzaria	Tel: [phone]
WH Ireland Ltd  (Nominated Adviser and Broker)
James Joyce / James Sinclair-Ford	Tel: [phone]
Cenkos Securities PLC  (Joint Broker)
Joe Nally / Neil McDonald	Tel: [phone]
Novum Securities  (Joint Broker)
John Belliss	Tel: [phone]
Communications
Brian Alexander	Tel: [phone]

The information contained within this announcement is deemed by the Company to constitute inside information under the Market Abuse Regulation (EU) No. 596/2014

 

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