Last checked at 13 Jan 2017 11:46
Gunsynd plc ("Gunsynd" or the "Company")
Investment in Oyster Oil and Gas
Gunsynd Plc (AIM: GUN, NEX: GUN) is pleased to announce that it has signed a subscription agreement with Oyster Oil & Gas ("Oyster"), a junior oil and gas E&P company quoted on the Toronto Venture Exchange in Canada to invest £125,000 by as part of a wider fundraising with existing investors of £250,000.
Highlights:
Oyster is listed on the TSV Venture Exchange (TSX-V: OY) and is an international energy group focused on oil and gas exploration and production activities in underexplored hydrocarbon basins. Oyster currently operates 4 blocks in the Republic of Djibouti (100% interest); 3 blocks are located onshore and 1 block offshore, and also the sole interest holder in 1 onshore block in the Republic of Madagascar.
Terms of the investment:
Gunsynd is investing CAD 200,000 (approximately £125,000) at a price of CAD 0.20 (compared with closing price of 0.24 on 11 January) for 1,000,000 shares in Oyster. The Company will also receive a warrant over an equivalent number of shares at a strike price of CAD 0.27 exercisable up to 20 January 2018.
Hamish Harris, the Company's Executive Chairman, commented:
"This initial investment into Oyster offers the Company the opportunity to participate in a large, multi-billion barrel prospective resource at what we believe to be a compelling valuation and complements our portfolio of near term oil production companies".
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
The directors of Gunsynd accept responsibility for this announcement.
For further information please contact:
Gunsynd plc:
+44 (0) 20 7440 0640
Hamish Harris
Nominated Adviser/NEX Exchange Corporate Adviser
+44 (0) 20 7213 0880
Cairn Financial Advisers LLP
James Caithie / Liam Murray
Peterhouse Corporate Finance (Joint Broker)
+44 (0)20 7469 0930
Lucy Williams