Less Ads, More Data, More Tools Register for FREE

Pin to quick picksOEX.L Share News (OEX)

  • There is currently no data for OEX

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

UPDATE: Oilex Hit By Allegations Made By 10% Shareholder (ALLISS)

Wed, 11th Nov 2015 16:18

LONDON (Alliance News) - Oilex Ltd on Wednesday said it will vigorously defend itself after shareholder Zeta Resources Ltd alleged that the company "failed to disclose material information" before Zeta's initial investment in the company, which was announced in July.

Oilex also said that in light of the change in its funding arrangement, it is likely that the beginning of the approved two-well drilling programme will be delayed. In addition, its joint venture partner on the Cambay project in India has "formally indicated" to Oilex that it wishes to "vary the approved work programme" by flowing Cambay-77 for six continuous months before embarking on the approved two-well drilling campaign.

"This variation has not been agreed by Oilex and discussions are ongoing in relation to this matter," the company said. Changes to the approved work programme would require approval from the Indian government.

"Therefore, should Oilex's funding arrangements be resolved it is possible that the commencement of the approved two-well drilling campaign may be further delayed as a result of the change to the work programme, subject to the approval of the government of India," Oilex said in a statement.

Oilex said that talks are continuing on the cash calls owed by Oilex's joint venture partner, which amounted to USD7.7 million at the end of October, an increase from the USD1.6 million at the end of June.

"Consideration is being given to a range of proposals that have been put forward by both parties. These discussions are incomplete at this time. However, the board is focussed on finding a solution that will enable the approved work programme to move forward," Oilex said.

Earlier Oilex had said: "Zeta has alleged that the company has failed to disclose material information to it prior to its initial investment and has contravened statutory provisions relating to misleading or deceptive conduct and continuous disclosure and rights issue disclosure requirements."

Under an agreement between the companies, Zeta was to subscribe for AUD4.2 million of 20-year, zero-coupon unsecured convertible loan notes, convertible into Oilex shares at Zeta's option at any time. That was subject to a conversion price of AUD0.0418 per share, by no later than Wednesday this week. In addition, Zeta was to subscribe for 124.0 million new shares at the same price, to enable the issue of those shares to be settled by no later than Thursday.

"As at the date of this announcement, Zeta has failed to settle the subscription for the convertible notes. Oilex will be considering, together with its external legal counsel, the remedies available to it arising out of Zeta's failure to settle the convertible notes," Oilex said.

Zeta currently owns 10.3% of Oilex.

"Whilst Zeta has at this stage only provided limited information to the company regarding the basis of these allegations, Oilex considers them to be without merit and they will be vigorously defended," Oilex said.

Shares in Oilex were down 59% at 0.590 pence late Wednesday afternoon.

By Samuel Agini; samagini@alliancenews.com; @samuelagini

Copyright 2015 Alliance News Limited. All Rights Reserved.

More News
1 Oct 2020 14:25

IN BRIEF: Oilex Annual Loss Widens; Encounters Covid-19 Delays

IN BRIEF: Oilex Annual Loss Widens; Encounters Covid-19 Delays

Read more
14 Sep 2020 17:21

UK TRADING UPDATE SUMMARY: Henry Boot Unit In Voluntary Liquidation

UK TRADING UPDATE SUMMARY: Henry Boot Unit In Voluntary Liquidation

Read more
7 Aug 2020 10:48

IN BRIEF: Oilex Settles Arbitration With East Timor Government Body

IN BRIEF: Oilex Settles Arbitration With East Timor Government Body

Read more
7 Aug 2020 08:22

Oilex settles dispute with East Timor petroleum authority

(Sharecast News) - Oilex announced on Friday that it has executed a deed of settlement and release with the Autoridade Nacional Do Petróleo E Minerais (ANPM) in East Timor, to terminate the ongoing arbitration proceedings arising from the termination of the production sharing contract by the ANPM in 2015, and settle all claims and counterclaims between the parties.

Read more
27 Jul 2020 15:31

Oilex makes 'substantial progress' towards restarting at Pendalian

(Sharecast News) - Oilex said on Monday that "substantial progress" has been made towards its objective to regain a participating interest in the West Kampar production sharing contract (PSC) in Indonesia.

Read more
27 Jul 2020 15:02

IN BRIEF: Oilex Takes Step Closer Towards West Kampar PSC Interest

IN BRIEF: Oilex Takes Step Closer Towards West Kampar PSC Interest

Read more
29 Jun 2020 17:45

IN BRIEF: Oilex Progressing With Bhandut Sale In India

IN BRIEF: Oilex Progressing With Bhandut Sale In India

Read more
29 Jun 2020 14:20

Oilex makes progress with Bhandut sale

(Sharecast News) - Oilex announced on Monday that the sale of its 40% participating interest in the Bhandut production sharing contract (PSC) has "substantially" progressed.

Read more
15 Jun 2020 17:23

IN BRIEF: Oilex Agrees To Sell Cooper-Eromanga Assets To Armour

IN BRIEF: Oilex Agrees To Sell Cooper-Eromanga Assets To Armour

Read more
5 Jun 2020 15:45

UK TRADING UPDATE SUMMARY: GYG Gets Yacht Contracts Worth EUR6 Million

UK TRADING UPDATE SUMMARY: GYG Gets Yacht Contracts Worth EUR6 Million

Read more
1 Jun 2020 13:52

Oilex Extends Deadline For Cooper-Eromanga Assets Sale To Friday

Oilex Extends Deadline For Cooper-Eromanga Assets Sale To Friday

Read more
27 May 2020 17:11

Oilex To Sell Australian Copper Assets To Armour Energy

Oilex To Sell Australian Copper Assets To Armour Energy

Read more
5 May 2020 11:50

UK EXECUTIVE CHANGE SUMMARY: Sigma Capital Taps Former Countryside CEO

UK EXECUTIVE CHANGE SUMMARY: Sigma Capital Taps Former Countryside CEO

Read more
28 Apr 2020 09:46

Oilex deal with Doriemus falls through

(Sharecast News) - Oilex told shareholders on Tuesday that an agreement with Doriemus to reach an alternative agreement over the proposed purchase of Oilex's interests in the Cooper Basin by Doriemus has not been reached.

Read more
3 Apr 2020 11:24

Oilex Secures Extension For Acquisition Of Cooper-Eromanga Licences

Oilex Secures Extension For Acquisition Of Cooper-Eromanga Licences

Read more

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.