United welcomes new investors - RKH shares placed

RNS Number : 3770X

United Oil & Gas PLC

27 August 2020

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF THE MARKET ABUSE REGULATION (EU NO. 596/2014) ("MAR"). IN ADDITION, MARKET SOUNDINGS (AS DEFINED IN MAR) WERE TAKEN IN RESPECT OF CERTAIN OF THE MATTERS CONTAINED IN THIS ANNOUNCEMENT, WITH THE RESULT THAT CERTAIN PERSONS BECAME AWARE OF SUCH INSIDE INFORMATION, AS PERMITTED BY MAR. UPON THE PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN AND SUCH PERSONS SHALL THEREFORE CEASE TO BE IN POSSESSION OF INSIDE INFORMATION.

United Oil and Gas Plc

("United" or, "the Company")

27 August 2020

United welcomes new investors as Rockhopper shares placed

United Oil & Gas PLC (AIM: "UOG"), the growing oil and gas company with a portfolio of production, development, exploration and appraisal assets is pleased to announce the successful placing of Rockhopper Exploration plc ("Rockhopper") 18.3% shareholding in United, with a small number of institutional investors and one private investor.

As announced on 28^th February 2020, the consideration for United's acquisition of Rockhopper Egypt Pty Ltd., was part financed by the issue of 114,503,817 new ordinary shares ("the Consideration Shares") to Rockhopper, representing approximately 18.5% of United's enlarged ordinary share capital at the time. This shareholding was subject to certain lock-up and orderly market disposal for a period of up to 12 months.  

Following an investor roadshow undertaken by management in recent days, United confirms that via its Brokers it has placed the Consideration Shares with a small number of institutional investors and one private investor in an oversubscribed placing.

The acquisition of Rockhopper Egypt Pty Ltd., which includes a 22% non-operating interest in the Abu Sennan concession onshore Egypt, was transformational for United delivering the Company 2P reserves of 2.97 MMBOE.   The Company's first drilling campaign on Abu Sennan was highly successful and resulted in the discovery of 50m of net oil pay in the ASH-2 well and a further discovery of over 120m of net oil pay in the ES-5 well. Both wells tested at high oil rates after drilling and are now already on production.

As a result of the placing, Rockhopper no longer has any interest in the Company's issued share capital and accordingly Mr. Stewart MacDonald, Rockhopper's representative, will step down from the Board of United immediately.

United Oil and Gas CEO Brian Larkin commented:

"I would like to thank our existing and new shareholders for their support. We are delighted to have attracted such strong support from institutional and private investors at a time of relative uncertainty within our sector; a clear vote of confidence in our assets, our executive team and in our business model. 

"Today's oversubscribed placing strengthens the Company's shareholder base considerably with the introduction of institutional investors onto United's register.

"I would like to thank Rockhopper for their support and for the important role they played in facilitating our transformational acquisition of Rockhopper Egypt. They have been an excellent partner and enabled United to achieve this orderly transition.  I would also like to thank Mr. Stewart MacDonald for his contribution to our Board."

ENDS

United Oil & Gas Plc (Company)
Brian Larkin, CEO	[e-mail]
Beaumont Cornish Limited (Nominated Adviser)
Roland Cornish and Felicity Geidt	[phone]
Optiva Securities Limited (Joint Broker)
Christian Dennis	[phone]
Cenkos Securities Plc (Joint Broker)
Joe Nally (Corporate Broking)     Derrick Lee and Pete Lynch	[phone] [phone]
Murray (PR Advisor)	[phone]
Joe Heron	[e-mail]
Camarco (Financial PR/IR)
Billy Clegg     Georgia Edmonds     James Crothers	[phone]

Notes to Editors

United Oil & Gas is a high growth oil and gas company with a portfolio of low-risk, cash generative production and development assets across Egypt, UK, Italy and a high impact exploration licence in Jamaica.

Led by an experienced management team with a strong track record of growing full cycle businesses and partnered with established industry players, the Company is well positioned to deliver future growth through portfolio optimisation and targeted acquisitions.

United Oil & Gas is listed on the AIM market of the London Stock Exchange. For further information on United Oil and Gas please visit https://www.uogplc.com/ 

 

END

 

 

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