The fun and games continue at Bahamas Petroleum. Having failed to raise the necessary $20 – 25 million at a rumoured 1p, on Thursday it announced an open offer to raise £7 million at 2p, probably hoping that shorts would cover by taking the placement of the unsubscribed open offer shares.
It’s now trading back under 2p, so it looks unlikely that either existing shareholders or shorts, if any, will be subscribing. My opinion remains unchanged. Wait until they are fully funded and look at them then.
Europa Oil & Gas announced the final results. As expected they made a loss, but the important thing is they have sufficient cash to keep going and the numbers don’t really matter that much anyway, because it’s all about whether they can farm-out one or more of their portfolio of licences.
Most interesting is Inishkea, where they are focusing on being in a position to drill at the earliest opportunity. They say they are in farmout discussions with a number of parties, including a major oil company, with whom they previously announced that they had negotiated a farm-out.
Who knows what the truth is here, but any farm-out by Europa would propel the shares significantly higher.
Amerisur Resources announced a strategic review and an update on their formal sale. They say that multiple well-funded parties are engaged in the process.
Revised bidding instructions have now been issued to interested parties, inviting firm proposals to acquire the entire issued share capital of the company.
They are seeking to conclude the formal sale process before the end of they year. Trading just a penny over the previous offer level of 17p, it could be an interesting bet.
UK Oil & Gas announced that coring operations are underway at Horse Hill. The coring programme has been increased from three to a total of four 60 ft cores, covering the full 240 ft Upper Portland reservoir sequence.
The first 60 ft core was successfully landed at surface yesterday morning and operations to cut the second core are in progress, with the full programme expected to be completed next week.
The additional 60 ft core number 4 is in response to the receipt of a revised Horse Hill-1 petrophysical interpretation from Petroscale in Houston, Texas, which indicates that the field’s oil-water contact may be significantly deeper than previously recognised.
If correct, the deeper oil-water contact would increase the field’s oil in place and recoverable volumes, potentially significantly beyond those previously reported. UKOG holds an 85.635% interest in the Horse Hill oil field and Alba Mineral Resources has an 11.765% stake in Horse Hill too. Both companies have significant upside.
Moving on, news from all the other companies who made announcements last week will be covered in the Sunday blog and I’ll be back mid-week with another podcast focussed on whatever interesting looking news comes out in the meantime.
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