SOLO.L Share News (SOLO)

LONDON (Alliance News) - Primorus Investments PLC and Solo Oil PLC confirmed on Friday the latter's purchase of a 5% interest in Horse Hill Developments Ltd from Primorus has been completed.

On Wednesday last week, Solo said it had raised GBP2.0 million to fund the GBP1.0 million purchase of the 5% stake, increasing its own holding in Horse Hill Developments to 15%.

Following the sale, Primorus will still own 5% of the company.

Solo is paying Primorus GBP600,000 in cash and the rest in shares, and thus it is issuing 10.0 million shares to Primorus. Its shares were up 6.9% on Friday at 3.47 pence each.

Through Horse Hill Developments, Solo will now have a 9.8% interest in the Horse Hill licences PEDL137 and PEDL246, in Surrey, and Primorus 3.3%.

Solo said testing at Horse Hill-1 is to start early in 2018's second quarter, and it expects this to lead to a commerciality declaration at the Portland sandstone reservoir level, where initial testing in 2016 showed a possible commercial rate of 320 barrels of oil a day.

Primorus shares were flat Friday at 0.150p each.