REG - UK Oil & Gas PLC - Successful Placing

UK Oil & GasAnnouncement

27/07/2022 14:15

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20220727:nRSa9604Ta&default-theme=true

RNS Number : 9604T  UK Oil & Gas PLC  27 July 2022

THIS ANNOUNCEMENT, INCLUDING THE APPENDICES AND THE INFORMATION CONTAINED
THEREIN IS RESTRICTED AND IT IS NOT FOR RELEASE, PUBLICATION, DISTRIBUTION OR
FORWARDING, IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED
STATES, AUSTRALIA, CANADA, NEW ZEALAND, JAPAN, THE REPUBLIC OF SOUTH AFRICA OR
IN OR INTO ANY OTHER JURISDICTION WHERE TO DO SO MIGHT CONSTITUTE A VIOLATION
OR BREACH OF ANY APPLICABLE LAW OR REGULATION.

 

THIS ANNOUNCEMENT IS FOR INFORMATION PURPOSES ONLY AND DOES NOT CONSTITUTE OR
CONTAIN ANY INVITATION, SOLICITATION, RECOMMENDATION, OFFER OR ADVICE TO ANY
PERSON TO SUBSCRIBE FOR, OTHERWISE ACQUIRE OR DISPOSE OF ANY SECURITIES IN UK
OIL & GAS PLC OR ANY OTHER ENTITY IN ANY SUCH JURISDICTION.

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK
VERSION OF THE MARKET ABUSE REGULATION (EU NO. 596/2014) AS IT FORMS PART OF
UK LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018 ("UK MAR").

 

27 July 2022

 

UK Oil & Gas PLC

("UKOG" or the "Company")

 

Successful Placing

 

UK Oil & Gas PLC (London AIM: UKOG) is pleased to announce that it has
successfully raised gross proceeds of £1.25 million by means of a placing
(the "Placing") of new Ordinary Shares (the "Placing Shares") at a price of
0.0875 pence per share (the "Placing Price").

 

The Placing Price represents a discount of approximately 27 per cent to the
Closing Price of 0.12 pence per Ordinary Share on 26 July 2022, being the
latest practicable business day prior to the publication of this Announcement.

 

Placing Summary

 

·     The Placing raised £1.25m (before expenses) through the issue of
1,428,571,428 Placing Shares at the Placing Price.

·     The Placing Shares represent 8.09 per cent. of the Enlarged Issued
Share Capital.

·     The net proceeds of the Placing will be applied to help in the
delivery of the Company's operational work programme and for working capital
purposes as further detailed below.

The Placing

 

The Company will issue 1,428,571,428 Placing Shares, to raise gross proceeds
of £1.25m, to participants in the Placing. The Placing Shares will be
admitted ("Admission") to trading on the AIM market ("AIM") of London Stock
Exchange plc ("LSE") on or around 1 August 2022.

 

W H Ireland Limited ("WH Ireland") acted as sole bookrunner in connection with
the Placing.

 

Reasons for the Placing and Use of Proceeds

The Company is undertaking the Placing to progress its corporate and
operational strategy detailed in its Operational Update of 20(th) July 2022,
consequently the net proceeds will therefore be applied towards:

·    Phase 2 seismic acquisition and processing over UKOG's Basur oil
discovery in SE Turkiye; and

·    For general working capital purposes.

The placing's proceeds will be sufficient to acquire and process the further
planned, but previously unbudgeted, Phase 2 seismic over the newly revealed
western culmination of the Basur oil discovery (as detailed in the Company's
30(th) June 2022 Turkiye update) and to help determine if the discovery is
best appraised from this new more accessible area via a vertical Basur-4, or
from the previously planned more operationally challenging highly-deviated
Basur-3 sidetrack.

Upon reaching this next key operational and budgetary decision point, expected
by mid Q4 2022, the Company would at this time need to seek further financing
for its share of the Basur appraisal well and for working capital purposes to
help fund its other significant projects. By their nature, UKOG's other
projects have a longer lead time to cash generation than Basur. Drilling
success at Basur is anticipated to provide UKOG with additional working
capital in H1 2023.

Placing Information

The Placing has not been underwritten by WH Ireland and is conditional inter
alia on the placing agreement dated 26 July 2022 between the Company and WH
Ireland (the "Placing Agreement") not having been terminated and Admission.

The Placing Shares will be issued, credited as fully paid, and will rank pari
passu with the existing Ordinary Shares in issue in the capital of the
Company, including the right to receive all dividends and other distributions
(if any) declared, made or paid on or in respect of such shares after the date
of their issue.

Admission to trading

 

Application will be made to the London Stock Exchange for Admission, which
 is expected to become effective and dealings in the Placing Shares to
commence at, 8.00 a.m. on or around 1 August 2022.

 

The total voting rights in the Company is therefore 17,667,804,679 and
Shareholders may use this figure as the denominator by which they are required
to notify their interest in, or change to their interest in, the Company under
the Disclosure Guidance and Transparency Rules.

 

 

 

Contact:

 UK Oil & Gas PLC
 Stephen Sanderson / Matt Gormley / Allen D Howard          Tel: 01483 941493
 WH Ireland (Nomad and Joint Broker)
 James Joyce / James Bavister / Andrew de Andrade (Nomad)   Tel: 020 7220 1666

 Harry Ansell / Dan Bristowe (Corporate Broking)
 Communications
 Brian Alexander                                            Tel: 01483 941493

The person responsible for arranging this announcement on behalf of UK Oil and
Gas plc is Stephen Sanderson, CEO of the Company.

 

IMPORTANT NOTICES

This Announcement includes statements that are, or may be deemed to be,
"forward-looking statements". These forward-looking statements can be
identified by the use of forward-looking terminology, including the terms
"believes", "estimates", "forecasts", "plans", "prepares", "anticipates",
"projects", "expects", "intends", "may", "will", "seeks", "should" or, in each
case, their negative or other variations or comparable terminology, or by
discussions of strategy, plans, objectives, goals, future events or
intentions. These forward-looking statements include all matters that are not
historical facts. They appear in a number of places throughout this
Announcement and include statements regarding the Company's and the Directors'
intentions, beliefs or current expectations concerning, amongst other things,
the Company's prospects, growth and strategy. By their nature, forward-looking
statements involve risks and uncertainties because they relate to events and
depend on circumstances that may or may not occur in the future.
Forward-looking statements are not guarantees of future performance. The
Company's actual performance, achievements and financial condition may differ
materially from those expressed or implied by the forward-looking statements
in this Announcement. In addition, even if the Company's results of
operations, performance, achievements and financial condition are consistent
with the forward-looking statements in this Announcement, those results or
developments may not be indicative of results or developments in subsequent
periods. Any forward-looking statements that the Company makes in this
Announcement speak only as of the date of such statement and (other than in
accordance with their legal or regulatory obligations) neither the Company,
nor WH Ireland nor any of their respective associates, directors, officers or
advisers shall be obliged to update such statements. Comparisons of results
for current and any prior periods are not intended to express any future
trends or indications of future performance, unless expressed as such, and
should only be viewed as historical data.

The content of this Announcement has not been approved by an authorised person
within the meaning of the FSMA. Reliance on this Announcement for the purpose
of engaging in any investment activity may expose an individual to a
significant risk of losing all of the property or other assets invested. The
price of shares and any income expected from them may go down as well as up
and investors may not get back the full amount invested upon disposal of the
shares. Past performance is no guide to future performance, and persons
needing advice should consult an appropriate independent financial adviser.

 

No prospectus will be made available in connection with the matters contained
in this Announcement and no such prospectus is required (in accordance with
the Prospectus Regulation) to be published.

 

No representation or warranty, express or implied, is or will be made as to,
or in relation to, and no responsibility or liability is or will be accepted
by WH Ireland or by any of their respective  affiliates or agents as to, or
in relation to, the accuracy or completeness of this Announcement or any other
written or oral information made available to or publicly available to any
interested party or its advisers, and any liability therefore is expressly
disclaimed.

No statement in this Announcement is intended to be a profit forecast or
estimate, and no statement in this Announcement should be interpreted to mean
that earnings per share of the Company for the current or future financial
years would necessarily match or exceed the historical published earnings per
share of the Company.

The Placing Shares to be issued pursuant to the Placing will not be admitted
to trading on any stock exchange other than AIM.

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  IOEFLFEFDTIDFIF