LONDON (Alliance News) - Frontier Resources International PLC shares dropped on Tuesday after it said it has hired US-based Moyes & Co to help the company with its ongoing farm-out process for its oil prospective block in Oman.
"During these challenging times for the oil industry, it will benefit the company to have the assistance of the team at Moyes & Co who are very experienced in international oil and gas transactions," said Chief Executive Jack Keyes.
Moyes & Co provides transaction advice on natural resource deals and is based in Dallas in the US, with other offices in London and Singapore.
Frontier shares were down 14% to 0.250 pence per share on Tuesday morning.
Back in June, Frontier said it was in talks with potential Middle East-based partners which were interested in investing in the block.
At that time, Frontier said any formal farm-out deal would include a carried interest for Frontier through the initial drilling programme and the repayment to Frontier of the costs it had incurred up to June 2, totalling around USD1.6 million, plus any other costs incurred since then.
By Joshua Warner; joshuawarner@alliancenews.com; @JoshAlliance
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