Business
Increase in interest in Horse Hill Prospect
Increase in interest in Horse Hill Prospect.
About this update from Primorus Investments Plc
[{"type":"text","content":"\n \nRNS Number : 0691K Stellar Resources PLC 19 June 2014 \n\n \n \nStellar Resources Plc\n(\"Stellar Resources\" or the \"Company\")\n \nIncrease in interest in conventional Horse Hill Oil and Gas Prospect, UK \n \nStellar Resources Plc (AIM: STG) announces that it has today entered into a Binding Heads of Agreement (\"HOA\") to buy a further 2.5% equity interest in Horse Hill Development Ltd (\"HHDL\"), the operators of the Horse Hill Prospect in the Weald Basin near Gatwick Airport, taking its interest from 7.5% to 10%.\n \nSite construction for the proposed 8,512 feet Horse Hill-1 well is already underway. The well is expected to spud in July 2014 and is targeting a number of conventional stacked oil and gas targets.\n \nStellar Resources now has binding agreements in place to own a direct 10% interest in Horse Hill Development Ltd, a special purpose company that owns a 65% participating interest and operatorship of the Horse Hill Prospect.\n \nDavid Lenigas, the Company's Chairman, commented:\n \n\"Stellar Resources are pleased to have been able to negotiate a one-third increase in its original investment in this exciting conventional oil and gas drilling opportunity in the Weald Basin. Work is already underway with site construction and we look forward to the spudding of the well next month.\"\n \nThe breaking of ground at the Horse Hill Prospect marks the start of a potentially exciting era for Stellar Resources and the Horse Hill Development partners.\"\n \nPayments to be made by Stellar Resources to increase its interest in HHDL from 7.5% to 10%:\n \n1. £10,000 on signing revised agreement;\n2. £50,000 on signing definitive agreement;\n3. £90,000 when cash called as part of the drilling programme.\n \nNote: These terms are pro rata to the original deal Stellar Resources negotiated to acquire the initial 7.5% interest in HHDL as announced on 6 February 2014.\n \n \n-ENDS-\n \nFor further information, please contact:\n \nEnquiries:\n \n\n\n\n\nStellar Resources plc\nDavid Lenigas, Executive Chairman\nDonald Strang, Finance Director\n \n\n\n \n+44 (0) 20 7440 0640\n\n\n\n\nCairn Financial Advisers LLP\nJames Ca...