Mosman Oil and Gas Limited Sale of Strawn Production Facilities and Leases (8814D)

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RNS Number : 8814D

Mosman Oil and Gas Limited

01 July 2019

1 July 2019

Mosman Oil and Gas Limited

("Mosman" or the "Company")

Sale of Strawn Production Facilities and Leases

Mosman Oil and Gas Limited (AIM: MSMN) the oil exploration, development and production company, advises that it has today sold its 50% interest in the Strawn Production Facilities and Lease ('Strawn') to Eagle Natural Resources LLC.

Strawn was 50% owned by Mosman and Mosman will cease to be the operator.

Under the terms of the sale the consideration of USD 75,000 (approximately AUD $108,500) in cash has been received. The Company expects to use the proceeds for general working capital purposes.

In the Company's unaudited interim accounts to 31 December 2018 Mosman reported a net project loss from Strawn for the six month period of AUD $7,096, and project assets as at 31 December 2018 of AUD $158,632.

John W Barr, Chairman, said: "Strawn was a small but important step towards the team implementing Mosman's business plan, as it established Mosman as an Operator in USA and gave valuable experience in operating mature oil fields. This led to the acquisition and Operatorship of Welch, which has more development potential.

"Now that we have even more production and development opportunities, Strawn is no longer deemed a material asset and we see more value in focussing our attention on our other projects."

Competent Person's Statement

The information contained in this announcement has been reviewed and approved by Andy Carroll, Technical Director for Mosman, who has over 35 years of relevant experience in the oil industry. Mr. Carroll is a member of the Society of Petroleum Engineers.

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside

information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

Enquiries:

 
 Mosman Oil & Gas Limited            NOMAD and Broker 
  John W Barr, Executive Chairman     SP Angel Corporate Finance LLP 
  Andy Carroll, Technical Director    Stuart Gledhill / Richard Hail 
  [e-mail]          / Soltan Tagiev 
  [e-mail]        [phone] 
 Gable Communications Limited        Joint Broker 
  Justine James / John Bick           SVS Securities Plc 
  [phone]                Tom Curran / Ben Tadd 
  [e-mail]      [phone] 
 

Updates on the Company's activities are regularly posted on its website www.mosmanoilandgas.com

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July 01, 2019 02:00 ET (06:00 GMT)