Business
Admission to AIM and First Day of Dealings
Admission to AIM and First Day of Dealings.
About this update from Block Energy Plc
[{"type":"text","content":"\n \nRNS Number : 8578Q Block Energy PLC 11 June 2018 \n\nBlock Energy Plc / Index: AIM / Epic: BLOE.L / Sector: Oil and Gas\n11th June 2018\nBlock Energy Plc ('the Company' or 'the Group')\nAdmission to AIM and First Day of Dealings\n \nBlock Energy Plc, the exploration and production company focused on the Republic of Georgia, is pleased to announce that at 08:00 today its ordinary shares commenced trading on AIM under the ticker BLOE.L ('Admission'). As part of the Admission process, the Company has raised £5 million before expenses, through a placing and subscription of 125 million new ordinary shares at an issue price of 4p each, implying a market capitalisation of circa £10.3 million on Admission. \n \nSpark Advisory Partners is acting as Nominated Adviser. Baden Hill LLP, a trading name of Northland Capital Partners Limited, and Novum Securities are Joint Brokers to the Company. Gneiss Energy Limited acted as corporate adviser to the Company.\n \nHighlights\n· Oil and gas portfolio in Georgia with existing rapidly scalable production\no 100% Working Interest ('WI') in the producing Norio licence\no 90% WI in the producing Satskhenisi licence\no 5% interest and the right to earn a 75% WI in the West Rustavi permit\n· All three licences hold reserves and have rapid development potential\n· Competent Persons Report estimates gross unrisked Contingent Resources ('2C') of 72.9 million barrels of oil and gross unrisked 2C gas resources of 626 billion cubic feet ('BCF') gas across the three licences\n· US$39.3 million NPV10 assigned to 2P net oil reserves with significant upside\n· Defined three phase strategy focussed on rapidly scaling up production and de-risking 2C contingent resources via the application of new technologies and techniques:\no Phase 1: targeting 900 barrels of oil per day ('bopd') within 18 -24 months via a fully funded, low-cost / low-risk workover and sidetrack programme of existing wells - at a crude oil price of US$70/bbl, the Company breaks even at a production level of 110 bopd; and testing gas discoveries estimated to contain gross, unrisked contingent resources of 608 BCF (2C)/1 TCF (3C) that form part of the same p...