Disposal of Interest in Horse Hill

RNS Number : 2226Y

Gunsynd PLC

20 August 2018

 

Gunsynd PLC

("Gunsynd" or the "Company")

Sale of 2% interest in HHDL to UKOG PLC for £550,000 in Shares and Cash

Gunsynd (AIM: GUN, NEX: GUN) is pleased to report that the Company has entered into a conditional sale and purchase agreement ("SPA") to dispose of its 2% interest in Horse Hill Developments Limited ("HHDL") to UK Oil and Gas plc ("UKOG"), a company admitted to trading on AIM. UKOG already holds a 49.9% 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. 

UKOG has agreed to pay Gunsynd an aggregate consideration of GBP 550,000, made up of GBP 50,000 in cash and the balance of GBP 500,000 by way of 28,571,429 UKOG shares priced at 1.75P being the bid price at the close of trade on 16 August. The SPA is conditional on the written consent of each of the members of HHDL to the sale of shares as set out in HHDL's articles of association. 

Once the disposal is completed, Gunsynd will no longer hold a direct interest in HHDL but will retain exposure to the project via share ownership in UKOG and Alba Mineral Resources Plc.

Hamish Harris, executive director of Gunsynd, commented:

"This transaction is a great result for the company and shareholders and is in line with our intention  to monetise our private investments at the appropriate time.  We very much look forward to further news from UKOG with regards to Horse Hill and their other holdings on the Weald Basin"

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014. 

The directors of Gunsynd accept responsibility for this announcement.

For further information, please contact:

Gunsynd plc Hamish Harris	[phone]
Cairn Financial Advisers LLP James Caithie / Liam Murray / Richard Nash	[phone]
Peterhouse Corporate Finance Lucy Williams	[phone]

 

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