ADM agreement with Dubai Bridge Investments

RNS Number : 6324C

ADM Energy PLC

20 October 2020

 

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED TO CONSTITUTE INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION (EU) NO. 596/2014.  UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

20 October 2020

ADM Energy PLC 

("ADM" or the "Company") 

ADM cooperation agreement with Dubai Bridge Investments  

ADM Energy PLC (AIM: ADME; BER and FSE: P4JC), a natural resources investing company, is pleased to announce it has entered into a cooperation agreement with Dubai Bridge Investments LLC ("DBI"), a privately-owned Dubai-based investment vehicle, to source and develop upstream oil and gas field investment opportunities jointly in Sub-Saharan Africa.

Under the terms of the cooperation agreement, it is the intention of ADM and DBI (together, the "Parties") to identify opportunities and structure funding for new investments ("Projects"). In the event that the Parties mutually approve a Project, it is envisaged that any investment or acquisition will likely comprise a joint venture made by way of a newly incorporated vehicle,  subject to separate agreement at the time, for each Project.  ADM will be responsible for identifying upstream oil and gas field opportunities in Sub-Saharan Africa and DBI will be responsible for providing or sourcing funding.

ADM has identified several potential targets and will be progressing through the evaluation and due diligence process with DBI. Once a Project is agreed, the Parties will negotiate a definitive agreement for each Project that is approved.

Osamede Okhomina, CEO of ADM Energy plc, said: "The agreement with Dubai Bridge Investments will help us pursue and finance acquisition opportunities in the oil and gas sector in Sub-Saharan Africa. Combined with the Trafigura MOU to provide project finance in return for exclusive rights to market crude oil, the DBI financing enables us to acquire stakes not just in producing fields, but also in proven undeveloped oil and gas fields. It is a further endorsement of the team and our strategy as we aim to broaden our investment portfolio by sourcing projects with attractive risk-reward profiles. We are already in discussions with DBI to progress potential investment opportunities and look forward to updating the market as appropriate."

HE Zubair Al Zubair, Chairman of Dubai Bridge Investments, said: "At Dubai Bridge Investments we are always searching for new investment opportunities and look forward to working with ADM to pursue some of the enticing opportunities that exist in the African energy sector. ADM has extensive knowledge of the region, expertise in the oil and gas industry, and ambitious plans that align with our investment strategy."

Enquiries:

ADM Energy plc	[phone]
Osamede Okhomina, CEO
www.admenergyplc.com
Cairn Financial Advisers LLP	[phone]
(Nominated Adviser)
Jo Turner, James Caithie
Hybridan LLP	[phone]
(Lead Broker)
Claire Louise Noyce
Pello Capital Limited	[phone]
(Joint Broker)
Dan Gee
Oddo Seydler Bank AG	[phone]
(Designated Sponsor)
Michael B. Thiriot
Luther Pendragon	[phone]
(Financial PR)
Harry Chathli, Alexis Gore, Joe Quinlan

About ADM Energy PLC

ADM Energy PLC (AIM: ADME; BER and FSE: P4JC) is a natural resources investing company with an existing asset base in Nigeria. ADM Energy holds a 5% profit interest in the Aje Field, part of OML 113, which covers an area of 835km² offshore Nigeria, and in February 2020 entered into an agreement with EER (Colobos) Nigeria Limited to acquire a further 4.2% profit interest. Aje has multiple oil, gas, and gas condensate reservoirs in the Turonian, Cenomanian and Albian sandstones with five wells drilled to date.

ADM Energy is seeking to build on its existing asset base in Nigeria and target other investment opportunities across Sub-Saharan Africa in the oil and gas sector with attractive risk reward profiles such as proven nature of reserves, level of historic investment, established infrastructure and route to early cash flow.

About Dubai Bridge Investments LLC

Dubai Bridge Investments ("DBI") is a privately owned sector agnostic Dubai based investment vehicle - managing and deploying its own family wealth into ventures deemed feasible by the AI Zubair Family & Board. DBI, has direct and passive placements within its exclusively chosen markets with an emphasis on North America, Western Europe, Arabian Gulf and Africa. Investor's subsidiaries and co-family owned entities are of substantial presence and influence and operating within sovereign capacities.

 

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