Admission is sought as a result of a reverse takeover in accordance with AIM Rule 14.
As announced on 17 December 2020, in accordance with the Company's strategy to focus on growth through acquisition or farm-in to non-operated interests in upstream projects, the Company entered into a conditional Buffalo Subscription Agreement pursuant to which the Company's wholly-owned subsidiary, Advance Energy TL Limited ("AETL") could subscribe for equity such that AETL holds up to 50 per cent. of the total equity interest in Carnarvon Petroleum Timor for a consideration of up to US$20 million (the "Acquisition"). Carnarvon Petroleum Timor holds a 100 per cent. working interest and is the contractor under the Buffalo PSC, offshore Timor-Leste. Carnarvon Petroleum Timor is a subsidiary of ASX listed company, Carnarvon Petroleum Limited.
The net proceeds of the Placing of approximately £20.01 million (approximately US$27.51m million) will be used to fund the Acquisition in respect of the full 50 per cent. interest in Carnarvon Petroleum Timor, with such funds in turn being applied by Carnarvon Petroleum Timor to funding the drilling of the B-10 Appraisal Well and certain Buffalo PSC related costs, and for the Company's general working capital needs.
Strand Hanson Limited