REG - Lansdowne Oil & Gas - Corporate Update

Lansdowne Oil & GasAnnouncement

31/12/2021 07:00

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RNS Number : 1150X  Lansdowne Oil & Gas plc  31 December 2021

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 ("MAR"). Upon the publication of this announcement via
Regulatory Information Service ("RIS"), this inside information is now
considered to be in the public domain. If you have any queries on this, then
please contact Steve Boldy, the Chief Executive Officer of the Company
(responsible for arranging release of this announcement).

 

31 December 2021

Lansdowne Oil & Gas plc

("Lansdowne" or the "Company")

Corporate Update

Lansdowne Oil & Gas plc (AIM: LOGP), the North Celtic Sea focused, oil and
gas company, is pleased to provide a corporate financial update.

The Company has entered into an agreement with LC Capital Master Fund
("LCCMF") to extend the payment date of its outstanding loan of £1.028
million (the "Loan") currently due for repayment on 31 December 2021 (the
"Loan Extension").

Further, as part of LCCMF's agreement to the Loan Extension, the Company has
agreed to certain amendments to the warrants to subscribe for up to 26 million
new ordinary shares in the Company that were granted to LC Capital Targeted
Opportunities Fund LP ("LCCTOF" and, together with LCCMF, "LC Capital") in
December 2020 as part of a previous extension of the Loan (the "Existing
Warrants").  The Existing Warrants have an exercise price of 1.2p/warrant and
an expiry date of 31 December 2021.

The foregoing arrangements provide that:

·    The repayment date of the Loan  will be extended to 31 December
2022;

·    The exercise period for the Existing Warrants has been extended to
now expire on 31 December 2022, in line with the Loan Extension and the
exercise price has been adjusted to 0.525p/warrant (being the closing mid
market price on 29 December 2021); and

·    Provision has been made for the Existing Warrants to be adjusted in
the event of the Company completing any equity fundraising(s) prior to 31
December 2022 (an "Equity Fundraising"), such that (i) the exercise price per
warrant be adjusted to an amount equal to the share issue price associated
with the Equity Fundraising (if such issue price is lower than 0.525p), and
(ii) the number of warrants is increased by such amount as to ensure that the
maximum number of new ordinary shares in the Company that LCCTOP could acquire
on exercise of the Existing Warrants represents the same proportion of the
Company's issued share capital as would have been the case prior to the
completion of the Equity Fundraising.

 

Rather than allow the Existing Warrants to lapse on 31 December 2021 in
accordance with their terms and new warrants be granted in their place on the
amended terms as are detailed above, the Board elected to amend the terms of
the Existing Warrants, which achieves the equivalent effect.

All other terms of the loan, which include a coupon of 5 per cent. per annum,
remain unchanged.

Related Party Transaction

As LC Capital is a substantial shareholder in the Company as defined under the
AIM Rules for Companies (the "AIM Rules"), it is considered to be a Related
Party of the Company as defined under the AIM Rules and each of the Loan
Extension and proposed amendments to the Existing Warrants (the "Warrant
Amendments") are considered to be a Related Party Transaction pursuant to Rule
13 of the AIM Rules.

The Directors of the Company independent from the Loan Extension and the
Warrant Amendments, being the full Board, consider, having consulted with the
Company's Nominated Adviser, SP Angel Corporate Finance LLP, that the terms of
the Loan Extension and Warrant Amendments are fair and reasonable insofar as
the Company's Shareholders are concerned.

Steve Boldy CEO of Lansdowne Oil & Gas commented:

"We would once again like to thank LC Capital for their continued support of
Lansdowne.

The last year has seen record gas and electricity prices throughout Europe and
increasing concerns regarding security of supply. There has also been a
growing understanding that gas will be essential as a transition fuel for many
years to come and that oil will also continue to be required.

Barryroe can play an important role in addressing these concerns and we will
continue our efforts to move the project forward in the New Year"

 

 

For further information please contact:

 Lansdowne Oil & Gas plc             +353 1 963 1760
 Steve Boldy

 SP Angel Corporate Finance LLP      +44 (0) 20 3470 0470
 Nominated Adviser and Joint Broker
 Stuart Gledhill
 Richard Hail

 Brandon Hill Capital                +44 (0) 20 3463 5061
 Joint Broker
 Oliver Stansfield

 

Notes to editors:

 

About Lansdowne

Lansdowne Oil & Gas (LOGP.LN) is a North Celtic Sea focused, oil and gas
exploration and appraisal company quoted on the AIM market and head quartered
in Dublin.

For more information on Lansdowne, please refer to www.lansdowneoilandgas.com.

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