REG - Beacon Energy PLC - Transaction and Corporate Update

Beacon EnergyAnnouncement

03/01/2023 07:00

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RNS Number : 4043L  Beacon Energy PLC  03 January 2023

3 January 2023

 

Beacon Energy plc

("Beacon Energy" or the "Company")

 

Transaction and Corporate Update

Beacon Energy plc (AIM:BCE), the energy company seeking
growth through acquisition or farm-in to interests in discovered upstream
projects, is pleased to provide the following update on the proposed
transaction to acquire the entire issued and to be issued share capital of
Rhein Petroleum GmbH as announced by RNS on 16 December 2022 (the "Proposed
Transaction"):

·    The Company has received notification that the shareholders of Tulip
Oil Holding B.V. have approved the Proposed Transaction, a condition precedent
for the Proposed Transaction to proceed

 

·    The Company has today published on its website a Competent Person's
Report ("CPR") prepared by SGS Nederland B.V, relating to the Rhein Petroleum
assets. The CPR outlines:

o  2P net reserves of 3.85 mmbbl and 2C net contingent resource base of 22.96
mmbbl, located across the four core assets within the Rhein Petroleum
portfolio

o  NPV10 valuation of €52.8 million related to the 2P reserve base

o  Cumulative free cash flow of €95.0 million forecast in relation to the
2P reserve base

 

·    Proposed appointment of Stewart MacDonald as an Executive Director
and Chief Financial Officer of the Company, subject to Completion of the
Proposed Transaction

 

·    Tulip Oil has nominated Leo Koot as its representative Non-Executive
Director, subject to Completion of the Proposed Transaction and completion of
due diligence by the Company's Nominated Adviser, in accordance with the terms
of the share purchase agreement announced on 16 December 2022

 

In addition, the Company notes that it intends to provide private and other
qualifying investors the opportunity to participate in the Company's proposed
forthcoming equity fundraise outlined in the RNS issued on 16 December 2022
through PrimaryBid, full details of which be provided in due course.

 

As announced on 22 December 2022, the Company will host a live investor
presentation relating to the Proposed Transaction via the Investor Meet
Company platform on 5 January 2023 at 10:30am GMT. Investors can sign up to
the Investor Meet Company platform for free and 'add to meet' BEACON ENERGY
PLC via the following link:

 

https://www.investormeetcompany.com/beacon-energy-plc/register-investor
(https://urldefense.com/v3/__https:/www.investormeetcompany.com/beacon-energy-plc/register-investor__;!!H_q-o1I4kFo!ldBk8msa99ntj7bjusCtU0Mwc8Ijp4GGUlNQICjZzqmSkkRbjwhSwHMCL9o0KOQLzXyYpXbocbR-8VGHlkvQw_Y$)

 

Further details on the Proposed Directors

 

Stewart MacDonald has over 20 years of energy industry and investment banking
experience. Previously, Stewart was an Executive Director and Chief Financial
Officer of Rockhopper Exploration plc for 8 years from March 2014. Prior to
joining Rockhopper, Stewart was a director of Rothschild's global Energy and
Power investment banking group, where he spent 12 years advising clients in
the sector on a range of M&A transactions as well as debt and equity
financings. He was also previously a non-executive Director of United Oil
& Gas plc.

 

Leo Koot is a Dutch national with over 30 years of international experience in
the Energy & Power sector. Leo's previous roles include Drilling Engineer
at Shell plc, Managing Director UK then President Iraq for TAQA, Executive
Chairman of Columbus Energy Resources plc, and Independent Non-Executive
Director for Sterling Energy plc. Leo is currently Executive Chairman of Tulip
Oil Holdings B.V., Joint MD at Rhein Petroleum GmbH and partner at Concordia
Capital Partners (MENA GULF).

 

Beacon Energy Non-Executive Chairman, Mark Rollins, said:

 

"We look forward to Stewart and Leo's prospective appointments to the
Company's Board.

 

"Stewart has been instrumental in the Proposed Transaction over the last 6
months, where his background and experience of M&A and financing has been
invaluable, and those skills will further support our ambitions to grow Beacon
Energy into a material business.

 

"Leo's knowledge of the Rhein Petroleum portfolio and experience in the German
[oil & gas] sector will be essential as we integrate the business, pursue
the near-term drilling and actively engage in in-country business development.
The Company will also benefit for Leo's extensive sector experience as we
continue to grow Beacon Energy for the benefit of all shareholders.

 

"We are delighted that the transaction continues to progress as planned and
look forward to providing further updates in due course."

 

 

Enquiries:

 Beacon Energy plc                                        +44 (0)1624 681 250

 Larry Bottomley (CEO)

 Strand Hanson Limited (Financial and Nominated Adviser)  +44 (0)20 7409 3494

 Rory Murphy / James Bellman

 Buchanan (Public Relations)                              +44 (0)20 7466 5000

 Ben Romney / Jon Krinks

 Tennyson Securities Limited (Joint Broker)               +44 (0)20 7186 9030

 Peter Krens / Ed Haig-Thomas

 Optiva Securities Limited (Joint Broker)                 +44 (0)20 3411 1881

 Christian Dennis

 

For further information, please visit  www.beaconenergyplc.com
(http://www.beaconenergyplc.com)   and @BeaconEnergyPlc on Twitter

To register for Beacon Energy's email alerts, please complete the following
form:  https://www.beaconenergyplc.com/media-centre/news/#alerts
(https://www.beaconenergyplc.com/media-centre/news/#alerts)

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulation
(EU) No. 596/2014 as it forms part of United Kingdom domestic law by virtue of
the European Union (Withdrawal) Act 2018.

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