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Investment in US Oil Leases and Work Programme
Investment in US Oil Leases and Work Programme.
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 \n25 May 2023\n \nADM Energy PLC \n(\"ADM\" or the \"Company\") \n \n \nInvestment in Onshore US Oil Leases and Work Programme\nIssue of and Subscription for Secured Convertible Loan Notes\nDirectors' dealings, Grant of Options and Related Party Transactions\n \nADM Energy PLC (AIM: ADME; BER and FSE: P4JC), a natural resources investing company, is pleased to announce that, through a recently formed, wholly owned U.S. subsidiary company, ADM Energy USA, Inc., it has invested in five on-shore US oil leases by way of a Membership Interest Purchase Agreement (\"the Investment\") with OFX Holdings, LLC (formerly Tennessee Black Gold, LLC), a substantial shareholder of the Company. The Investment has been made by the acquisition of Blade Oil V, LLC (\"Blade V\"), a Texas limited liability company established as a vehicle for the purpose of facilitating the Investment, for a total maximum consideration of US$1,614,000 further details of which are provided below.\n \nThe Company further announces a subscription for secured convertible loan notes, the proceeds of which will be used to advance the Investment and the implementation of an unapproved share option scheme, together with a grant of options.\n \nInvestment Highlights\nBlade V owns a portfolio of interests in oil and gas projects (\"the Assets\"), the primary focus of which is a 70.0% working interest participation in an initial three well drilling programme to target shallow oil production on the Altoona Lease located in the Midway-Sunset Oilfield, Kern County, California. The interests held by Blade V also comprise:\n· 100.0% working interest in the Schweitzer Lease in Graham County, Kansas where a work-over programme to restore production from two wells is currently in process.\n· 50.0% fully funded working interest in a three well workover programme in Texas targeting initiation of production from three wells.\n· Total gross and net l...