REG - ADM Energy PLC - PetroNor Acquires Aje interests from New Age

Adm EnergyAnnouncement

03/10/2023 07:00

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RNS Number : 4457O  ADM Energy PLC  03 October 2023

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
EU REGULATION 596/2014 (WHICH FORMS PART OF DOMESTIC UK LAW PURSUANT TO THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018). UPON THE PUBLICATION OF THIS
ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC
DOMAIN.

 

 

3 October 2023

 

ADM Energy PLC

("ADM" or the "Company")

 

OML 113 Update: PetroNor Acquires Aje interests from New Age (Africa Global
Energy), Ltd.

 

ADM Energy PLC (AIM: ADME; BER and FSE: P4JC), a natural resources investing
company, notes the announcement that PetroNor E&P Limited ("PetroNor")
(OSE Ticker: PNOR) has acquired the 32% cost sharing interest and 24% profit
share interest of New Age (Africa Global Energy), Ltd. ("New Age") in OML 113.

 

PetroNor agreed to acquire New Age's interest in OML 113 for an upfront
consideration of USD six million, with a contingent consideration of up to USD
20 million based on future gas production volumes.  This acquisition
represents PetroNor's second acquisition into the field, noting the completion
of PetroNor's acquisition of 100% of the shares of Panoro Energy ASA's fully
owned subsidiaries, Pan-Petroleum Services Holding BV ("PPSH") and
Pan-Petroleum Nigeria Holding ("PPNH"), which held 100% of the shares in
Pan-Petroleum Aje Limited ("Pan Aje") as announced on 13 July 2022.

 

In an announcement from PetroNor on 2 October 2023, interim CEO Jen Pace,
stated: "This acquisition is consistent with PetroNor's commitment to
expanding its portfolio while demonstrating shareholder value. Acquiring New
Age's interests represents a big step in achieving the partner alignment
necessary to move forward with plans for the re-development of the Aje field.
We are excited about the potential value of this gas resource which is located
close to major population centres and offers a cleaner source of energy for
power generation and industrial use compared to current alternatives."

 

Stefan Olivier, CEO of ADM Energy, said: "We welcome PetroNor's acquisition
of New Age's interest in OML 113 which, in our view, Aje is a highly
attractive, geologically de-risked asset which has produced more than 5
million barrels of oil.

 

"With the acquisition by PetroNor of Panoro's interest in 2022, PetroNor's
partnership with YFP Deepwater and now consolidation of the New Age interest -
PetroNor is now in position to provide the strong and capable leadership that
Aje requires. We look forward to working with PetroNor toward re-initiation of
development activity and realising the intrinsic value of ADM's holding in OML
113."

 

ADM Energy holds a 9.2% profit interest in the Aje field in OML 113, which
covers an area of 835km(2) offshore Nigeria. Aje has multiple oil, gas and
gas condensate reservoirs in the Turonian, Cenomanian and Albian sandstones
with five wells drilled to date.

 

Enquiries:

 

 ADM Energy plc                                       +44 20 7459 4718
 Stefan Olivier, CEO
 www.admenergyplc.com (http://www.admenergyplc.com/)

 Cairn Financial Advisers LLP                         +44 20 7213 0880
 (Nominated Adviser)
 Jo Turner, James Caithie

 Hybridan LLP                                         +44 20 3764 2341
 (Broker)
 Claire Louise Noyce

 ODDO BHF Corporates & Markets AG                     +49 69 920540
 (Designated Sponsor)
 Michael B. Thiriot

 Gracechurch Group                                    +44 20 4582 3500
 (Financial PR)
 Harry Chathli, Alexis Gore, Henry Gamble

 

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 and the United States. ADM
Energy holds a 9.2% profit interest in the oil producing Aje Field, part of
OML 113, which covers an area of 835km² offshore Nigeria. Aje has multiple
oil, gas, and gas condensate reservoirs in the Turonian, Cenomanian and Albian
sandstones with five wells drilled to date.  ADM also owns a portfolio of oil
and gas leases in the U.S. states of California, Texas and Kansas.

 

ADM Energy is committed to maximizing long-term value from its existing asset
base in Nigeria while targeting other investment opportunities 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.

 

Forward Looking Statements

 

Certain statements in this announcement are, or may be deemed to be, forward
looking statements. Forward looking statements are identified by their use of
terms and phrases such as "believe", "could", "should", "envisage'',
"estimate", "intend", "may", "plan", "potentially", "expect", "will" or the
negative of those, variations or comparable expressions, including references
to assumptions. These forward looking statements are not based on historical
facts but rather on the Directors' current expectations and assumptions
regarding the Company's future growth, results of operations, performance,
future capital and other expenditures (including the amount, nature and
sources of funding thereof), competitive advantages, business prospects and
opportunities. Such forward looking statements reflect the Directors' current
beliefs and assumptions and are based on information currently available to
the Directors.

 

 

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