REG - Ascent Resources PLC - Operations Update and Amendment to the PSAs

Ascent ResourcesAnnouncement

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RNS Number : 0913R  Ascent Resources PLC  15 July 2025

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THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF REGULATION
(EU) 596/2014 AS IT FORMS PART OF DOMESTIC LAW IN THE UNITED KINGDOM BY
VIRTUE OF THE EU (WITHDRAWAL) ACT 2018 ("MAR"). UPON THE PUBLICATION OF THIS
ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INSIDE INFORMATION IS
NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

15 July 2025

Ascent Resources plc

("Ascent" or the "Company")

Operations Update, Amendment to the PSAs, Share Issue, Directors Dealings
& TVR

Operations Update

Further to the Company's announcement on 27 June 2025, ARB Energy has updated
the Company that the flow rates from the first five wells which have been put
back into production remain strong at 350 mcfd (c58 boed). The Company has
also been advised that a further four wells are currently receiving
maintenance works and are expected to be put back into long term production,
following which Ascent and ARB intend to turn their attention to a further
five wells as part of this initial work program.

Ascent's new CEO will now also lead the Company's review and high grading of
both the natural gas and oil reserves of Locin Oil with a view to finalising a
first work program with an initial focus on accelerating the safe resumption
of production  of oil and gas from existing well bores, which is expected to
be completed in the coming weeks, whilst it also finalises its evaluations on
the large inventory of prospective resources with view to selecting targets
for potential development next year.

Amendment to the PSAs

The Company has agreed with Arb Energy Utah, LLC and Locin Oil Corporation a
revised effective date of 1 July alongside updated agreements relating to
Ascent's ability to go direct title holder on the relevant leases which is now
expected to happen at a time of Ascent's choosing in the next 12 months. At
the same time, given the significant number of shut-in wells (a large number
of which the JOA partners expect to bring back into production, as was already
initiated and as announced by the Company on 20 June 2025), Ascent and the
vendors have agreed an indemnification between the parties relating to
historic non-producing wells abandonment liability such that Ascent will only
take on its agreed share of the abandonment liability relating to the wells it
invests in prior to exercising its right to receive a direct lease interest.
The JOA partners expect to continue to focus their immediate attention and
efforts on increasing production across the leases by investing in affordable
low-risk high impact workover operations to bring shut-in production back
online. Further updates will be announced in due course.

Share Issues, Directors Dealings, Admission & Total Voting Rights

Ascent Resources Plc (LON: AST) is pleased to announce that, following the
Company's announcement on 22 May 2025 and 13 June 2025 a total of 215,274,654
("New Shares") new Ordinary shares, each of 0.5 pence nominal value, are being
issued, of which:

o  89,552,239 New Shares  to Locin Oil Corporation, as consideration for a
49% share of their interest in certain oil and gas leases in Colorado;

o  111,940,299 New Shares to Arb Energy Utah, LLC as consideration for a 49%
share of their interest in certain oil and gas leases in Utah; and

o  13,782,116 New Shares to C-suite and certain Directors following their
agreeing to reduce the cash component of their employment and/or service
contracts by at least 30% over the next six months and their corresponding
intention to settle these owed amounts, by subscribing for equity on the same
terms as the placing announced on 22 May 2025. 6,891,058 New Warrants have
been issued, in respect of the 13,782,116 New Shares to be issued to C-suite
and certain Directors, as per the terms of the placing of 22 May 2025 (the
"New Warrants").

Of the 13,782,116 New Shares and 6,891,058 New Warrants  to be issued -
directors / PDMR's will be issued as follows:

David Bullion, Non-Executive Director - 702,000 New Shares and 351,000 New
Warrants;

Edouard Etienvre, Independent Non-Executive Director - 571,968 New Shares and
285,984 New Warrants.

Following the issue of New Shares and New Warrants, David Bullion and Edouard
Etienvre interests in the Company are as follows:

                   Total Shares  % of issued share capital  Total Warrants
 David Bullion     702,000       0.0866                     351,000
 Edouard Etienvre  571,968       0.0705                     285,984

 

Admission & Total Voting Rights

Application has been made to the London Stock Exchange for the Locin Oil
Corporation consideration shares, the Arb Energy Utah, LLC consideration
shares, and the Director and Employee Shares to be admitted to trading on AIM
("Admission") and it is expected that such Admission shall take place on or
around 8.00 a.m. on 21 July 2025.

In accordance with the provision of the Disclosure Guidance and Transparency
Rules of the Financial Conduct Authority, the Company confirms that, following
Admission of the New Shares the Company will have 810,887,442 Ordinary Shares
in issue, none of which will be held in treasury. Accordingly, the total
number of voting rights in the Company will be 810,887,442 and shareholders
may use this figure as the denominator for the calculations by which they will
determine if they are required to notify their interest in, or a change to
their interest in, the Company under the FCA's Disclosure Guidance and
Transparency Rules.

 

Enquiries

 Ascent Resources plc                      info3@ascentresources.co.uk

 Jean-Michel Doublet
 Zeus, Nominated Adviser & Broker          0203 829 5000

 James Joyce / James Bavister
 Novum Securities, Joint Broker            0207 399 9400

 Jon Belliss / Colin Rowbury
 Fortified Securities, Joint-Broker        0203 411 7773

 Guy Wheatley
 Shard Capital Partners LLP, Joint-Broker  0207 186 9952

 Damon Heath

 

 1                                   Details of the person discharging managerial responsibilities / person closely
                                     associated
 a)                                  Name                                              1.     David Bullion

                                                                                       2.     Edouard Etienvre
 2                                   Reason for the notification
 a)                                  Position/status

                                                                                       1.     Non-Executive Director

                                                                                       2.     Independent Non-Executive Director
 b)                                  Initial notification/Amendment                    Initial Notification
 3   Details of the issuer, emission allowance market participant, auction
     platform, auctioneer or auction monitor
 a)  Name                                                            Ascent Resources plc
 b)  LEI                                                             213800Q8R5GV7DLNEL37
 4   Details of the transaction(s): section to be repeated for (i) each type of
     instrument; (ii) each type of transaction; (iii) each date; and (iv) each
     place where transactions have been conducted
 a)  Description of the financial instrument, type of instrument     Ordinary shares of £0.005 each
     Identification code                                             GB00BJVH7905
 b)  Nature of the transaction                                       Issue of ordinary shares
 c)  Price(s) and volumes(s)                                         Price(s)                               Volume(s)
                                     1.     £0.005                                     1.     702,000

                                     2.     £0.005                                     2.     571,968
 d)  Aggregated information                                          N/A
     Aggregated volume                                               N/A
     Price                                                           N/A
 e)  Date of the transaction                                         14 July 2025
 f)  Place of the transaction                                        London, AIMX

 

 

 1                                   Details of the person discharging managerial responsibilities / person closely
                                     associated
 a)                                  Name                                              1.     David Bullion

                                                                                       2.     Edouard Etienvre
 2                                   Reason for the notification
 a)                                  Position/status

                                                                                       3.     Non-Executive Director

                                                                                       4.     Independent Non-Executive Director
 b)                                  Initial notification/Amendment                    Initial Notification
 3   Details of the issuer, emission allowance market participant, auction
     platform, auctioneer or auction monitor
 a)  Name                                                            Ascent Resources plc
 b)  LEI                                                             213800Q8R5GV7DLNEL37
 4   Details of the transaction(s): section to be repeated for (i) each type of
     instrument; (ii) each type of transaction; (iii) each date; and (iv) each
     place where transactions have been conducted
 a)  Description of the financial instrument, type of instrument     Warrants over Ordinary Shares
     Identification code                                             GB00BJVH7905
 b)  Nature of the transaction                                       Issue of Warrants
 c)  Price(s) and volumes(s)                                         Price(s)                               Volume(s)
                                     1.     £0.01                                      1.     351,000

                                     2.     £0.01                                      2.     285,984
 d)  Aggregated information                                          N/A
     Aggregated volume                                               N/A
     Price                                                           N/A
 e)  Date of the transaction                                         14 July 2025
 f)  Place of the transaction                                        Outside of a trading venue

 

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