Business
Sale of US Oil Assets and £300,000 Placing
Cloudbreak Discovery PLC (LSE: CDL) announced the sale of its US oil assets to G2 Energy Corp for £100,000 (£50,000 on signing and £50,000 over five months), eliminating a £75,000 liability. Simultaneously, the company completed a £300,000 placing of 120 million new ordinary shares at £0.25 per share, increasing the total issued share capital to 1,373,075,632 ordinary shares. These funds will be used to accelerate exploration activities at the Darlot West gold project in Western Australia. Disclaimer*
About this update from Cloudbreak Discovery Plc
[{"type":"text","content":"\n\n22 August 2025\nCloudbreak Discovery Plc\n('Cloudbreak', or 'the Company')\n \nSale of US Oil Assets and £300,000 Placing\n \n \nCloudbreak Discovery Plc (LSE: CDL), a London Stock Exchange Main Market listed company, is pleased to announce that, further to the announcement of 27 May 2025, it has now concluded negotiations to sell its US assets and has executed final contracts in relation to the sale of these assets to G2 Energy Corp. (\"G2\") on its Masten Unit Energy Project in Texas.\n \nThe Company will receive £50,000 on signing and an additional £50,000 over the next 5 months, and as of now will no longer be exposed to any current or future liabilities with respect to these US assets, as well as removing an immediate £75,000 outstanding liability from the Company's books.\n \nIn addition, the Company has raised £300,000 (gross) at 0.25 pence per share from a new strategic institutional investor.\n \nTom Evans, Cloudbreak's MD, commented: \"The sale of these assets and the new funds raised will allow the Company to focus on its very exciting gold exploration activities in Western Australia at its new Darlot West gold project, where we recently announced some excellent gold grades from its initial exploration programme. Western Australia is a Tier-1 gold exploration jurisdiction, and we are focused as a Board to leverage off our exciting Darlot West assets to grow a portfolio of significant gold related projects in the state.\n \nThis sale of the US asset brings in cash and removes any future liabilities from the balance sheet. New funds in sterling from asset sales and financings is an important leverage tool for Australian gold exploration, as the British pound buys over 2 Australian dollars in today's money and that can fund a lot of on-ground exploration. We want to use the fact we are a London listed company operating in sterling to really make an impact in Western Australia. This gives us a good competitive edge when competing for assets there and spending money on the ground.\n \nAs mentioned in a recent announcement, we are pursuing more highly prospective gold ground in Western Australia and we will be using these funds to help accelerate our growth. Cloudbreak aims to be a significant gold explorer and developer in Western Australia, where we can qu...