AIM-listed Falcon Oil & Gas has executed a conditional agreement with Sweetpea Petroleum Pty, a wholly-owned subsidiary of PetroHunter Energy Corporation, to acquire its 50m shares (or 24.2 per cent interest) in Falcon Oil & Gas Australia(FOGA).
FOGA is a subsidiary of Falcon and is the registered holder of four exploration permits in the Beetaloo Basin in the Northern Territory of Australia.
Falcon currently owns 150m shares in FOGA representing 72.68% of the issued share capital of FOGA.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Upon completion of the agreement, Falcon's shareholding in FOGA will increase to 200m shares, representing 96.90% of the issued share capital of FOGA.
The terms of the agreement include a cash consideration of $3.0m, together with the issue of 97.86m Falcon shares to Sweetpea.
Philip O'Quigley, Chief Executive Officer of Falcon, commented: "We are delighted with this opportunity to consolidate further our interest in our significant asset in the Beetaloo Basin, Northern Territory, Australia.
He added: "We remain absolutely confident and excited by the resource potential of the Beetaloo Basin and are hopeful that Hess will make a positive election to participate in the planned drilling campaign."
MF
-
The top stocks in the FTSE 100After a year of strong returns for the UK’s flagship index, which FTSE 100 stocks have posted the best performance in 2024?
-
A junior ISA could turn your child’s pocket money into thousands of poundsPersuading your child to put their pocket money in a junior ISA might be difficult, but the pennies could quickly grow into pounds – and teach them a valuable lesson about money
