Solo Oil Plc Completion of Horse Hill Acquisition and TVR (1981H)

TIDMSOLO

RNS Number : 1981H

Solo Oil Plc

09 March 2018

FOR IMMEDIATE RELEASE ; Embargoed until 7 am 9 March 2018

SOLO OIL PLC

("Solo" or the "Company")

Completion of Horse Hill Acquisition

and TVR

Solo (AIM: SOLO), the natural resources investment company focused on acquiring and developing a diverse global non-operated portfolio of strategic oil and gas assets, today confirms the completion of the acquisition of an additional 5% interest in Horse Hill Developments Limited ("HHDL") as previously announced on 27 February 2018.

The conditions precedent to the Sale and Purchase Agreement ("SPA") have now been fulfilled, including the consent of other shareholders and the payment by Solo of the cash consideration of GBP650,000. The Company will now issue 9,973,011 ordinary shares of 0.2p in fulfilment of the share consideration to Primorus Investments plc ("Primorus") based on the 10-day VWAP as provided for in the SPA. The shares will be admitted for trading on or around the 15 March and under the terms of the SPA Primorus will not trade in Solo shares for a period of at least 45-days from completion.

Testing at the Horse Hill-1 oil discovery is expected to commence in early second quarter and is anticipated to lead to a declaration of commerciality at the Portland Sandstone reservoir level where initial testing in 2016 showed a potentially commercial rate of 320 barrels oil per day ("bopd") on pump. Additional testing of the Kimmeridge Limestone reservoirs will be undertaken in a test program expected to last approximately 150 days in total.

Solo will now hold a 15% interest in HHDL equivalent to a 9.75% interest in the Horse Hill licences, PEDL137 and PEDL246, and the Horse Hill oil discovery.

Neil Ritson, Solo's Executive Chairman, commented;

"With testing due to commence shortly at Horse Hill we are pleased to have increased our interest in this exciting opportunity and look forward to more news as operations get underway later this month."

Total Voting Rights

Following Admission, the Company will have 459,453,669 Ordinary Shares in issue with voting rights. The Company does not hold any Ordinary Shares in treasury and accordingly there are no voting rights in respect of any treasury shares. The aforementioned figure of 459,453,669 Ordinary Shares may be used by shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the Company, under the disclosure requirements applicable to the Company.

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

Qualified Person's Statement:

The information contained in this announcement has been reviewed and approved by Neil Ritson, Chairman and Director of Solo Oil plc who has over 40 years of relevant experience in the energy sector. Mr. Ritson is a member of the Society of Petroleum Engineers, an Active Member of the American Association of Petroleum Geologists and a Fellow of the Geological Society of London.

For further information:

 
 Solo Oil plc 
  Neil Ritson / Dan Maling    [phone] 
 
 Beaumont Cornish Limited 
  Nominated Adviser 
  Roland Cornish              [phone] 
  Shore Capital 
   Broker 
   Jerry Keen 
   Buchanan (PR) 
   Ben Romney / Chris          [phone] 
   Judd / Henry Wilson          [phone] 
 

Notes to Editors:

Solo Oil plc (Solo), is a natural resources investment company with a diverse portfolio of onshore assets, principally in Europe and Africa. The company seeks to deliver returns through early stage investment in promising projects and uses management's own sector expertise to assist in strategic asset development. Solo's portfolio currently includes extensive interests in the prolific Ruvuma Basin in Tanzania, the Horse Hill oil discovery in the Weald Basin, Helium One Limited, the Tanzanian helium exploration company, and Kiliwani North, a natural gas producing project in Tanzania.

Glossary:

 
 bopd        barrels of oil per day 
----------  -------------------------------------- 
 discovery   a petroleum accumulation for 
              which one or several exploratory 
              wells have established through 
              testing, sampling and/or logging 
              the existence of a significant 
              quantity of potentially moveable 
              hydrocarbons 
----------  -------------------------------------- 
 limestone   a sedimentary rock predominantly 
              composed of calcite (a crystalline 
              mineral form of calcium carbonate) 
              of organic, chemical or detrital 
              origin. Minor amounts of dolomite, 
              chert and clay are common 
              in limestones. Chalk is a 
              form of fine-grained limestone 
----------  -------------------------------------- 
 PEDL        UK Petroleum Exploration and 
              Development License 
----------  -------------------------------------- 
 reservoir   a subsurface rock formation 
              containing an individual natural 
              accumulation of moveable petroleum 
----------  -------------------------------------- 
 sandstone   a clastic sedimentary rock 
              whose grains are predominantly 
              sand-sized. The term is commonly 
              used to describe consolidated 
              sand or a rock made of predominantly 
              quartz sand 
----------  -------------------------------------- 
 VWAP        volume weighted average price 
----------  -------------------------------------- 
 

This information is provided by RNS

The company news service from the London Stock Exchange

END

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March 09, 2018 02:01 ET (07:01 GMT)