Business
Internal Review of Aje Field Interest
Internal Review of Aje Field Interest.
About this update from Adm Energy Plc
[{"type":"text","content":"\n\nTHIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF EU REGULATION 596/2014 (WHICH FORMS PART OF DOMESTIC UK LAW PURSUANT TO THE EUROPEAN UNION (WITHDRAWAL) ACT 2018). UPON THE PUBLICATION OF THIS ANNOUNCEMENT, THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.\n \n \n1 December 2023\n \nADM Energy PLC \n(\"ADM\" or the \"Company\") \n \nInternal Review of Aje Field Interest\n \nADM Energy PLC (AIM: ADME; BER and FSE: P4JC), a natural-resources investing company, announces that the Board of Directors have completed an internal review of existing investments, financial resources and future investment opportunities available to the Company. The key takeaways of this review include:\n \n· The Board has concluded that opportunities available to it in energy technology, such as the OFX Technologies, LLC investment announced 29 November 2023, present a compelling path to growth in per share value and cash flow for the Company. \n· As a result, the Board has resolved to consider alternatives for monetising its 12.3% cost share and 9.2% profit share interest in the Aje Field, OML-113 offshore Lagos, Nigeria. \n· Alternatives to be considered by the Company for Aje include its sale, a joint-venture, farming-out or other such transactions. \n· Among other alternatives to be considered, Energy Equity Resources (Nigeria), Ltd. (\"EER\"), a 16.8% cost share and 12.6% profit share partner in the Aje consortium, will work with the Company on potential alternatives involving third party financing to meet the requirements of both EER and the Company related to the Aje. \n· The Board has resolved to hire a third-party adviser to manage the process of identifying and executing a potential transaction related to its interest in OML-113 and to discuss with its auditors any implications in respect of the classification of the Aje asset.\n \nOML-113 Description and Recent Developments\nThe Company holds a 12.3% cost share and 9.2% profit share interest in OML-113 covering an area of 835km² offshore Nigeria, which includes the Aje Field. Aje, which has produced more than 5 million barrels of oil to date, is rich in gas and cond...