Reabold Resources ups stake in Danube Petroleum to 33pc
Reabold Resources
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16:55 03/05/24
Oil and gas investing company Reabold Resources has exercised options to subscribe for 375,940 fully paid ordinary shares in the capital of Danube Petroleum at a price of £1 per share, it announced on Monday, pursuant to its subscription agreement of 1 December last year.
Financial Services
14,418.79
16:54 03/05/24
The AIM-traded firm said that as a result, it paid £0.38m to Danube, satisfied from its existing cash balances, increasing its interest in Danube to 33% from 29%.
ASX-listed ADX Energy held the remaining 67%.
Reabold said the additional funding would be utilised by Danube for the drilling of the Parta Appraisal Wells in the first quarter of 2019.
As it previously announced on 24 September, under the subscription agreement, Reabold completed second tranche funding of £1.13m of an aggregate investment of £1.5m to provide funding for the first appraisal well.
“Under the terms of the subscription agreement, ADX is committed to either invest directly in Danube or source investment from a third party for £0.38m on the same terms as Reabold's investments,” the Reabold board said in its statement.
“The timing of this investment by ADX is being discussed by the parties in conjunction with potential other funding options by both parties for the drilling of a further Parta Appraisal well.”