Ascent Resources Regulatory News (AST)

2 Jun 2005 07:00

Ascent Resources PLC02 June 2005 Ascent Resources Plc ("Ascent" or "the Company") 'Placing to Raise £2.4 Million' • Raising £2,738,410 through an institutional placing• Aims to advance existing projects in Gabon, Hungary, Switzerland and Italy• Currently evaluating three additional projects in Spain and Italy• Strong technical team with oil and gas experience Ascent Resources Plc, the AIM listed oil and gas exploration and productioncompany, is raising £2,738,410 net of expenses through the proposed placing (the"Placing") of 60,184,835 new ordinary shares of 0.1 pence each in the Company at4.55 pence per ordinary share (the "Placing Shares"), together with one warrantfor each two Placing Shares subscribed, each warrant entitling the holder tosubscribe for one ordinary share in the Company at 5 pence per share (the "Warrants"). The Warrants to be issued pursuant to the Placing will not beadmitted to trading on AIM. Each Warrant granted shall be exercisable in wholeor part or in parts at any time and from time to time up to 24 months from thedate of admission of the Placing Shares to trading on AIM becoming effective inaccordance with the AIM Rules. As part of the Placing Ascent Chairman, David Steinepreis, is acquiring afurther 2,197,802 shares in the Company, as a result of this Mr Steinepreis willbe interested in 21,447,802 shares being 10.29% of the enlarged Company. The funds raised will enable Ascent to fund the expansion of its portfolio ofexploration and production projects in Africa and Europe and to take advantageof further acquisition prospects. Application has been made for the new shares to trade on AIM and it is expectedthat dealings in these shares will commence on 7 June 2005. The new ordinaryshares will rank pari passu in all respects with the existing shares in issue.The number of shares in issue following the Placing will be 208,518,168. Ascent Managing Director, Jeremy Eng said: "The fund raising provides Ascentwith further institutional support and enables us to take advantage of theopportunities being identified in the oil and gas sector across the fullspectrum of exploration and production activities. We already have a portfolioof projects in Gabon, Hungary, Switzerland and Holland and an experiencedtechnical team with strong industry contacts and a proven track record todevelop them. We have also identified other acquisition targets in Italy andSpain which we believe have the potential to provide significant value goingforward." Information on Ascent Ascent admitted to trading on AIM in November 2004 following a share placing at1 pence and embarked on a two stage development strategy. The first phase,funded through the proceeds of the Placing and previous fundraisings, is focusedon operating a core of majority owned European projects, holding minorityinterests in projects with high potential in Europe and Africa and spreadingrisk both geographically and by commodity with a balance of oil and gasprojects. The second phase involves the acquisition of a lesser number ofinterests in larger scale projects while maintaining a European/African focus. Reasons for the Placing Under Ascent's first phase, the existing projects are being developed from theproceeds of the Placing and previous fund raisings. The Company has a number ofother exciting opportunities in the pipeline. It is currently in the process ofundertaking due diligence on three other key European projects, two in Italy andone in Spain, to spread the risk for shareholders. A team of leadingconsultants, all recognised as experienced industry professionals, have beenretained to identify opportunities meeting suitable criteria. 2 June 2005 * * ENDS * * Contacts: Jeremy Eng Ascent Resources Plc Tel: 020 7251 4905Hugo de Salis St Brides Media & Finance Ltd Tel: 020 7242 4477 This information is provided by RNS The company news service from the London Stock Exchange