Falkland Islands makes killing on Falkland Oil share sale

Falkland Islands Holdings has made a £3.1m profit after selling 3m shares in Falkland Oil and Gas.The group, which owns businesses in the South Atlantic territory, offloaded 20% of its stake in Falkland Oil, but still owns 12m shares, or 8.2% of the business.Falkland Oil shares have doubled this year as it prepares to start drilling in the East Falklands Basin during the first half of 2010.It has told the firm and their broker Oriel Securities there are no plans to sell any more shares, other than in "exceptional" circumstances, before completion of the drilling of the Toroa well."We have today reduced the risk profile of our group," said chairman David Hudd."The proceeds of sale give us the flexibility to take advantage of investment opportunities particularly in the Falklands and will leave us with a modest level of gearing."