Jersey Oil&gas Regulatory News (JOG)

NEITHER THIS ANNOUNCEMENT NOR ANY PART OF IT CONSTITUTES AN OFFER TO SELL OR ISSUE OR THE SOLICITATION OF AN OFFER TO BUY, SUBSCRIBE OR ACQUIRE ANY NEW ORDINARY SHARES IN ANY JURISDICTION IN WHICH ANY SUCH OFFER OR SOLICITATION WOULD BE UNLAWFUL. THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES, AUSTRALIA, CANADA, JAPAN OR ANY OTHER JURISDICTION IN WHICH SUCH PUBLICATION, RELEASE OR DISTRIBUTION WOULD BE UNLAWFUL. PERSONS INTO WHOSE POSSESSION THIS ANNOUNCEMENT (INCLUDING THE APPENDICES) COMES ARE REQUIRED BY THE COMPANY, MIRABAUD SECURITIES LLP AND FIRSTENERGY CAPITAL LLP TO INFORM THEMSELVES ABOUT AND TO OBSERVE ANY SUCH RESTRICTIONS.

7 June 2012

Trap Oil Group plc

("Trapoil" or the "Company")

Placing of new Ordinary Shares at 21.0 pence per share

to raise approximately £4.3 million

Trapoil (AIM: TRAP), the independent oil and gas exploration and appraisal company focused on the UK Continental Shelf ("UKCS") region of the North Sea, announces that it has conditionally raised, in aggregate, approximately £4.3 million (before expenses) through the placing of, in aggregate, 20,537,300 new Ordinary Shares at a placing price of 21.0 pence per Ordinary Share (the "Placing Price") with certain existing and new institutional and other investors (the "Placing"). The Placing, which has been arranged by Mirabaud and FirstEnergy, pursuant to the terms of the Placing Agreement, is conditional, upon Admission.

The net proceeds of the Placing will be used to augment the anticipated cash flows arising from the Athena Acquisition and assist with, inter alia, the funding of potential commitments in relation to the Proposed Acquisition of the Trent East Interest, potential commitments in respect of the Company's 27th Round licence applications, additional drilling opportunities and to provide general working capital for the Group.

Mark Groves Gidney, Chief Executive Officer of Trapoil, commented:

"We are pleased with the interest and support received from both existing and new investors in Trapoil in very difficult market conditions. The net proceeds from this conditional fundraising, which has been restricted to the amount for which approval was received at the recent AGM, will allow the Company to pursue opportunities where we can become an operator but also to grow and enhance our exploration portfolio via potential investment in new licence awards from the 27th Round, with results currently expected to be announced by DECC later this year."

 Enquiries:

This announcement contains forward-looking statements with respect to the Company and the proposals set out in this announcement. These statements involve known and unknown risks and uncertainties as they relate to and depend on circumstances that occur in the future. Actual results may differ materially from those expressed in the forward-looking statements.

The new Ordinary Shares are being offered and sold pursuant to exemptions from the registration requirements of the United States Securities Act of 1933, as amended (the "Securities Act"), and will be offered and sold either (i) outside the United States to persons who are not 'U.S. Persons' (within the meaning of Regulation S under the Securities Act) in transactions complying with Regulation S or (ii) within the United States in private placements to persons who are institutional persons who are Accredited Investors (within the meaning of Regulation D under the Securities Act) in transactions complying with Regulation D.

The Ordinary Shares have not been approved by the U.S. Securities and Exchange Commission or by any US state securities commission or authority, nor has any such US authority reviewed or commented on the accuracy or adequacy of this document.

The Ordinary Shares have not been (and will not be) registered under the Securities Act or securities laws of any US state or jurisdiction and will not be offered or sold within the United States except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act and such other applicable securities laws.

Mirabaud Securities LLP and FirstEnergy Capital LLP, which are both authorised and regulated in the United Kingdom by the Financial Services Authority, are acting exclusively for the Company and no one else in connection with the Placing and will not be responsible to anyone other than the Company for providing the protections afforded to clients of Mirabaud Securities LLP and FirstEnergy Capital LLP or for providing advice in relation to the Placing.

Background to and reasons for the Placing

The Company completed its admission to trading on AIM in March 2011, simultaneously raising £60 million before expenses (the "IPO").

In July 2011, in line with its stated strategy, the Company successfully acquired a substantial portfolio of additional exploration and appraisal opportunities, via the acquisition of Reach Oil & Gas Limited for a total consideration of £30 million, comprising £20 million in cash and £10 million in new Ordinary Shares at the IPO share price.

In March 2012, Trapoil announced that its wholly owned subsidiary, Trap Oil, had agreed to acquire a working interest of up to 15 per cent. in the Athena oil field ("Athena") from Dyas UK Limited ("Dyas"), subject to certain conditions including, inter alia, DECC and Dyas' partners' approvals, for a total cash consideration of up to approximately £34.5 million.

On 28 May 2012, Ithaca Energy Inc., the parent company of Ithaca Energy (UK) Limited ("Ithaca") which is the operator of Athena, announced first oil from Athena with the initial operations phase of the field in line with its management's expectations and proceeding as planned. The Board expects strong near term cash flow generation for the Group following the anticipated forthcoming completion of the Athena Acquisition.

The abovementioned substantial acquisitions have fulfilled Trapoil's two principal IPO objectives, which were to create a dynamic exploration programme and to secure cash flows from producing assets with high levels of tax synergy.

As outlined in the Company's Annual Report and Financial Statements for the period ended 31 December 2011, Trapoil is now seeking to deliver further growth through its anticipated exploration drilling programmes during 2012 and 2013 and the active management of its asset portfolio, via continued divestments, acquisitions and swaps to create additional Shareholder value.

In line with this strategy, Trap Oil recently entered into non-binding heads of agreement to potentially acquire an interest in the Trent East gas field and submitted eight licence applications (in conjunction with its partners) in DECC's 27th Round, further details of which are set out below.

Proposed Acquisition of Trent East Interest

In early May 2012, Trap Oil, entered into non-binding heads of agreement potentially to acquire a 33.33 per cent. working interest in the Licence P.685 (Block 43/24a) gas discovery from Perenco, in return for a firm commitment to drill an appraisal well as operator in 2013 and requiring a letter of credit to cover its share of abandonment costs. In connection with this potential farm-in, Trap Oil would also acquire a 30 per cent. working interest from Holywell in two adjacent blocks (Blocks 43/24b and 43/20c), where the licence's partnership group would potentially be joined by a major utility to build a core area. Together, these blocks are known as the Trent East Terrace ("TET"). There is, however, no guarantee that the Proposed Acquisition will complete.

On completion of this Proposed Acquisition, which is conditional, inter alia, upon requisite DECC approval and execution of definitive binding documentation, Trap Oil would assume the role of operator and the partnership group would be required to commit to drilling a well on TET, within six months of completion, at an estimated net cost to Trap Oil of approximately £8 million.

TET has proven gas in the Carboniferous Westphalian and Namurian reservoirs, with gross recoverable resources estimated by Trapoil's management at between 35 and 60bcf. Trapoil's management considers that the proposed drilling of a new appraisal well could potentially recover closer to 60bcf (gross), if the main porous gas bearing sands flow at commercial rates, and that there could be considerable additional upside potential in the surrounding exploration acreage.

The currently envisaged development plan for TET would comprise a single well tie-back to the Trent platform, operated by Perenco, where capacity and suitable facilities exist for the immediate handling of any gas from Trent East, with proposed tie-in agreements at an advanced stage. This promising gas development project, combined with exploration in the adjacent acreage, could potentially provide cash flows to the Group from 2014 onwards.

Possible financial commitments in respect of 27th Round licence applications

Trapoil intends to continue to build its exploration acreage and drilling exposure and, accordingly, has recently submitted applications pursuant to the 27th Round. It is currently expected that, subject to sufficient funding, the Group will seek to assume larger working interests than in previous rounds, alongside the carried interests receivable from its partners in return for generating successful licence awards.

Seven licence applications were made as part of the Group's existing contractual arrangements with Suncor Energy UK Limited ("Suncor") (formerly Petro-Canada UK Limited) and Norwegian Energy Company UK Limited, supported by 3D seismic data provided by CGGV. In addition, Trapoil made a further application alongside two new partners, one of whom is a major utility, for a licence located in close proximity to TET. The results of the 27th Round applications are currently expected to be announced by DECC later this year.

 Funding requirements in respect of potential additional drilling opportunities

In addition to the growth opportunities outlined above, Trapoil currently also intends to use the net proceeds of the Placing to provide flexibility to fund certain of the Company's other envisaged drilling commitments from 2012 to 2014.

In particular, further to the Company's announcement of 3 May 2012 in respect of initially encouraging results from Orchid (Licence P.1556, Block 29/1c), a second exploration wellbore will be required to provide conclusive evidence of its commercial potential. The partners in exploration licence P.1556 are currently Summit Petroleum Limited (45 per cent. operator), Valiant Exploration Limited (30 per cent.), Atlantic Petroleum UK Limited (10 per cent.) and Trapoil (15 per cent., of which 5 per cent. is carried and 10 per cent. is a paying interest). It is anticipated that discussions will take place between the partners with respect to any potential future additional drilling activities, which could include a re-assignment of equity from disinterested parties with Trapoil potentially prepared to increase its existing paying interest.

Current trading and future prospects

Since releasing its final results for the period ended 31 December 2011 on 22 March 2012, the Group has continued to trade in line with management's expectations and operational highlights have included the announcement of results from the Orchid exploration well, first production from the Lybster well and, most recently, first oil at Athena.

Athena first oil

On 28 May 2012, Ithaca Energy Inc., parent company of Ithaca which is the operator of Athena, announced first oil from Athena, with the initial operations phase of the field in line with its management's expectations and proceeding as planned. The Board expects strong near term cash flow generation for the Group following the anticipated forthcoming completion of the Athena Acquisition.

Lybster initial production

As announced on 3 May 2012, production has commenced at the Lybster field situated on Block 11/24 - 3v2 (Licence P.1270) ("Lybster"), which is operated by Caithness Oil Limited ("Caithness") and in which Trapoil holds a 35 per cent. carried interest. The Lybster production facilities have been installed and commissioned with commercial arrangements now in place to transport and sell the oil produced to ConocoPhillips Limited at its Immingham refinery. Since production commenced on 2 May 2012, approximately 6,000 barrels gross have been produced with average daily gross production currently at a rate of 500bopd.

Caithness is contractually entitled to recover all development and operating costs attributable to Trapoil's carried interest out of net revenue achieved from the sale of Trapoil's percentage interest share of the crude oil produced. Until such costs have been fully recovered, Trapoil will therefore receive approximately 20 per cent. of net petroleum revenues attributable to its carried interest.

Remaining planned 2012 drilling programme

Trapoil's remaining planned 2012 drilling programme comprises six wells which have all secured rig contracts save for the two Caithness operated wells where preparations for drilling at the year end are well advanced.

It is currently anticipated that the next exploration well in Trapoil's 2012 drill programme will be spud in September 2012 on the Romeo prospect (Licence P.1666, Block 30/11c), operated by Suncor, in which Trap Oil has a 12.5 per cent. carried interest. The Scotney well (Licence P.1658, Block 20/5b) also operated by Suncor (Trap Oil 12.5 per cent. carried interest) is currently scheduled to be spud immediately after Romeo using the same drill rig. Drilling of the Magnolia prospect (Licence P.1610, Block 13/23a), operated by Dana Petroleum (BVUK) Limited, in which Trap Oil has a 10 per cent. carried interest, is now expected to be spud in Q4 2012. The delay on Magnolia will have a knock-on effect on the drilling of Crazy Horse as the same rig has been contracted for both wells. The four committed rig contracts were taken out with planned start dates in Q3/Q4 2012, however actual drilling dates will be dependent on rig deliverability which is subject, inter alia, to operational commitments on other wells, including test programmes, and weather conditions.

Details of the Placing

The Company has conditionally placed the Placing Shares using the Directors' existing authority to allot shares for cash on a non pre-emptive basis as granted at Trapoil's annual general meeting held on 3 May 2012. The placing of the Placing Shares to raise, in aggregate, approximately £4.3 million gross is conditional only on Admission, which is currently expected to occur at 8.00 a.m. on 12 June 2012. Following their Admission, the Placing Shares will represent approximately 9.09 per cent. of the Company's then enlarged issued ordinary share capital.

The Placing Shares have been conditionally placed by Mirabaud and FirstEnergy, as agents of the Company, with certain existing and new institutional and other investors pursuant to the Placing Agreement. Under the terms of Placing Agreement, Mirabaud and FirstEnergy will receive commission from the Company conditional on Admission and the Company will give customary warranties and undertakings to each of Mirabaud and FirstEnergy in relation, inter alia, to its business and the performance of its duties. In addition, the Company has agreed to indemnify each of Mirabaud and FirstEnergy in relation to certain liabilities that they may incur in undertaking the Placing. Mirabaud and FirstEnergy each have the right to terminate the Placing Agreement in certain circumstances prior to Admission, in particular, in the event that there has been, inter alia, a material breach of any of the warranties. The Placing is not being underwritten.

Applications will be made for the Placing Shares to be admitted to trading on AIM and it is currently expected that trading in the Placing Shares will commence on 12 June 2012.

The total number of Ordinary Shares in issue following completion of the Placing, and the total number of voting rights, will be 225,937,300. Trapoil does not hold any Ordinary Shares in treasury and accordingly there are no voting rights in respect of any treasury shares. The aforementioned figure of 225,937,300 Ordinary Shares may be used by Shareholders as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, Trapoil under the FSA's Disclosure and Transparency Rules prior to completion of the Proposed Placing.

Use of proceeds

The net proceeds of the Placing will be used, inter alia, to augment the anticipated cash flows arising from the Athena Acquisition and assist with, inter alia, the funding of potential commitments in relation to the Proposed Acquisition of the Trent East Interest, potential commitments in respect of the Company's 27th Round licence applications, additional drilling opportunities and to provide general working capital for the Group.

Appendix I

Terms and Conditions of the Placing

IMPORTANT INFORMATION FOR PLACEES ONLY REGARDING THE PLACING.

THIS ANNOUNCEMENT, INCLUDING THE APPENDICES AND THE INFORMATION CONTAINED HEREIN IS RESTRICTED AND IS NOT FOR PUBLICATION, RELEASE OR DISTRIBUTION, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM THE UNITED STATES, CANADA, AUSTRALIA, JAPAN OR ANY JURISDICTION IN WHICH THE SAME WOULD BE UNLAWFUL. PERSONS INTO WHOSE POSSESSION THIS ANNOUNCEMENT (INCLUDING THE APPENDICES) COMES ARE REQUIRED BY THE COMPANY, MIRABAUD AND FIRSTENERGY TO INFORM THEMSELVES ABOUT AND TO OBSERVE ANY SUCH RESTRICTIONS.

EACH PLACEE SHOULD CONSULT WITH ITS OWN ADVISERS AS TO LEGAL, TAX, BUSINESS AND RELATED ASPECTS OF A SUBSCRIPTION FOR THE PLACING SHARES.

Details of the Placing

Mirabaud and FirstEnergy (as Joint Lead Managers) have on 6 June 2012 entered into an agreement with Trap Oil Group PLC (the "Placing Agreement") under which, subject to the conditions set out in that agreement, Mirabaud and FirstEnergy have agreed to use their respective reasonable endeavours to procure subscribers for Placing Shares at the Placing Price with certain institutional and other investors.

The Placing Shares will, when issued, rank pari passu in all respects with the existing issued Ordinary Shares, including the right to receive dividends and other distributions declared, made or paid following Admission.

Application for admission to trading 

Application will be made to the London Stock Exchange for admission of the Placing Shares to trading on AIM. It is expected that Admission will become effective and that dealings in the Placing Shares will commence on AIM at 8.00 a.m. on 12 June 2012.

Participation in, and principal terms of, the Placing

Mirabaud and FirstEnergy are arranging the Placing as agents for and on behalf of the Company. Mirabaud and FirstEnergy will determine in their absolute discretion the extent of each Placee's participation in the Placing, which will not necessarily be the same for each Placee. No element of the Placing is underwritten.

Each Placee will be required to pay to Mirabaud or FirstEnergy (as applicable), on the Company's behalf, the Placing Price for each Placing Share agreed to be acquired by it under the Placing in accordance with the terms set out herein. Each Placee's obligation to acquire and pay for Placing Shares under the Placing will be owed to Mirabaud or FirstEnergy (as applicable) and the Company. Each Placee has an immediate, separate, irrevocable and binding obligation, owed to Mirabaud or FirstEnergy (as applicable), to pay to them (or as they may direct) in cleared funds an amount equal to the product of the Placing Price and the number of Placing Shares such Placee has agreed to subscribe for. Each Placee will be deemed to have read and understood the Appendices in their entirety, to be participating in the Placing upon the terms and conditions contained in the Appendices, and to be providing the representations, warranties, agreements, acknowledgements and undertakings, in each case as contained in the Appendices. To the fullest extent permitted by law and applicable Financial Services Authority ("FSA") rules (the "FSA Rules"), neither (i) Mirabaud nor FirstEnergy, (ii) any of their respective directors, officers, employees or consultants, or (iii) to the extent not contained within (i) or (ii), any person connected with Mirabaud or FirstEnergy as defined in the FSA Rules ((i), (ii) and (iii) being together "affiliates" and individually an "affiliate"), shall have any liability to Placees or to any person other than the Company in respect of the Placing.

Conditions of the Placing

The obligations of Mirabaud and FirstEnergy under the Placing Agreement in respect of the Placing Shares are conditional on, amongst other things:

(a) the Company having complied with its obligations under the Placing Agreement (to the extent that such obligations fall to be performed prior to Admission); and

(b) Admission having occurred not later than 8.00 a.m. 12 June 2012 or such later date as the Company, Mirabaud and FirstEnergy may agree, but in any event not later than 8.00 a.m. on 19 June 2012.

If any of the conditions contained in the Placing Agreement in relation to the Placing Shares are not fulfilled or waived by Mirabaud and FirstEnergy, by the respective time or date where specified, the Placing will not proceed and the Placee's rights and obligations hereunder in relation to the Placing Shares shall cease and terminate at such time and each Placee agrees that no claim can be made by the Placee in respect thereof.

Mirabaud and FirstEnergy may, at their discretion and upon such terms as they think fit, waive compliance by the Company with the whole or any part of any of the Company's obligations in relation to the conditions in the Placing Agreement. Any such extension or waiver will not affect Placees' commitments as set out in this Announcement.

None of Mirabaud, FirstEnergy, the Company or any other person shall have any liability to any Placee (or to any other person whether acting on behalf of a Placee or otherwise) in respect of any decision they may make as to whether or not to waive or to extend the time and/or the date for the satisfaction of any condition to the Placing nor for any decision they may make as to the satisfaction of any condition or in respect of the Placing generally, and by participating in the Placing each Placee agrees that any such decision is within the absolute discretion of Mirabaud and FirstEnergy. 

Termination of the Placing Agreement

Mirabaud and FirstEnergy are entitled, at any time before Admission, to terminate the Placing Agreement in relation to their obligations in respect of the Placing Shares (save to the extent already performed) by giving notice to the Company if, amongst other things:

(a) the Company fails, in any material respect, to comply with any of its obligations under the Placing Agreement; or

(b) it comes to the notice of Mirabaud and/or FirstEnergy that any statement contained in any document or announcement issued or published by or on behalf of the Company in connection with the Placing was untrue, incorrect or misleading at the date thereof in any respect which Mirabaud and/or FirstEnergy (acting reasonably) considers to be material in the context of the Placing; or

(c) any of the warranties given by the Company in the Placing Agreement has ceased to be true and accurate in any respect which Mirabaud and/or FirstEnergy (acting reasonably) consider to be material in the context of the Placing; or

(d) there happens, develops or comes into effect: i) a general moratorium on commercial banking activities in London declared by the relevant authorities or a material disruption in commercial banking or securities settlement or clearance services in the United Kingdom; or ii) the outbreak or escalation of hostilities or acts of terrorism involving the United Kingdom or the declaration by the United Kingdom of a national emergency or war or any other occurrence of any kind which in any such case (by itself or together with any other such occurrence) in the reasonable opinion of Mirabaud and/or FirstEnergy is likely to materially and adversely affect the market's position or prospects of the Group taken as a whole; or iii) any other crisis of international or national effect or any change in any currency exchange rates or controls or in any financial, political, economic or market conditions or in market sentiment which, in any such case, in the reasonable opinion of Mirabaud and/or FirstEnergy is materially adverse.

Upon such termination, the parties to the Placing Agreement shall be released and discharged (except for any liability arising before or in relation to such termination and save to the extent already performed) from their respective obligations under or pursuant to the Placing Agreement subject to certain exceptions.

By participating in the Placing, Placees agree that the exercise by Mirabaud and FirstEnergy of any right of termination or other discretion under the Placing Agreement shall be within the absolute discretion of Mirabaud and FirstEnergy and that they need not make any reference to Placees and that they shall have no liability to Placees whatsoever in connection with any such exercise or failure so to exercise.

No prospectus

No offering document, prospectus or admission document has been or will be submitted to be approved by the FSA or submitted to the London Stock Exchange in relation to the Placing and Placees' commitments will be made solely on the basis of the information contained in this Announcement (including the Appendices) released by the Company today, and subject to the further terms set forth in the contract note to be provided to individual prospective Placees.

Each Placee, by accepting a participation in the Placing, agrees that the content of this Announcement (including the Appendices) is exclusively the responsibility of the Company and confirms that it has neither received nor relied on any other information, representation, warranty, or statement made by or on behalf of the Company, Mirabaud or FirstEnergy or any other person and none of Mirabaud, FirstEnergy nor the Company nor any other person will be liable for any Placee's decision to participate in the Placing based on any other information, representation, warranty or statement which the Placees may have obtained or received. Each Placee acknowledges and agrees that it has relied on its own investigation of the business, financial or other position of the Company in accepting a participation in the Placing. Nothing in this paragraph shall exclude the liability of any person for fraudulent misrepresentation.

Registration and settlement

Settlement of transactions in the Placing Shares following Admission will take place within the system administered by Euroclear UK & Ireland Limited ("CREST"), subject to certain exceptions. The Company reserves the right to require settlement for and delivery of the Placing Shares (or a portion thereof) to Placees in certificated form if, in the opinion of Mirabaud and FirstEnergy, delivery or settlement is not possible or practicable within the CREST system or would not be consistent with the regulatory requirements in the Placee's jurisdiction.

Participation in the Placing is only available to persons who are invited to participate in it by Mirabaud and FirstEnergy.

A Placee's commitment to acquire a fixed number of Placing Shares under the Placing will be agreed orally with Mirabaud or FirstEnergy (as applicable). Such agreement will constitute a legally binding commitment on such Placee's part to acquire that number of Placing Shares at the Placing Price on the terms and conditions set out or referred to in the Appendices and subject to the Company's Articles of Association.

After such agreement is entered into, each Placee allocated Placing Shares in the Placing will be sent contract notes stating the number of Placing Shares allocated to it at the Placing Price and settlement instructions.

Each Placee agrees that it will do all things necessary to ensure that delivery and payment is completed in accordance with the standing CREST or certificated settlement instructions that it has in place with Mirabaud or FirstEnergy. Settlement should be either through (as applicable) (i) Mirabaud against CREST ID: 834, account designation: CLEARING, or (ii) FirstEnergy against CREST ID: 601, account designation: Pershing. For the avoidance of doubt, Placing allocations will be booked with a trade date of 7 June 2012 and settlement date of 12 June 2012

The Company will deliver the Placing Shares to the CREST accounts operated by Mirabaud and/or FirstEnergy (as applicable) as agents for the Company and Mirabaud and FirstEnergy will enter their delivery (DEL) instruction into the CREST system. The input to CREST by a Placee of a matching or acceptance instruction will then allow delivery of the relevant Placing Shares to that Placee against payment.

It is expected that settlement will take place on 12 June 2012 for the Placing Shares, on a delivery versus payment basis. 

Interest is chargeable daily on payments not received from Placees on the due date in accordance with the arrangements set out above at the rate of two percentage points above LIBOR as determined by Mirabaud and FirstEnergy.

Each Placee is deemed to agree that, if it does not comply with these obligations, the Company may sell any or all of the Placing Shares allocated to that Placee on such Placee's behalf and retain from the proceeds, for the Company's account and benefit, an amount equal to the aggregate amount owed by the Placee plus any interest due. The relevant Placee will, however, remain liable for any shortfall below the aggregate amount owed by it and may be required to bear any stamp duty or stamp duty reserve tax (together with any interest or penalties) which may arise upon the sale of such Placing Shares on such Placee's behalf.

If Placing Shares are to be delivered to a custodian or settlement agent, Placees should ensure that the trade confirmation is copied and delivered immediately to the relevant person within that organisation. Insofar as Placing Shares are registered in a Placee's name or that of its nominee or in the name of any person for whom a Placee is contracting as agent or that of a nominee for such person, such Placing Shares should, subject as provided below, be so registered free from any liability to UK stamp duty or stamp duty reserve tax. Placees will not be entitled to receive any fee or commission in connection with the Placing.

Representations and warranties

By participating in the Placing each Placee (and any person acting on such Placee's behalf) acknowledges, undertakes, represents, warrants and agrees (as the case may be) the following:

That it:

1. has read this Announcement, including the Appendices, in its entirety and acknowledges that its participation in the Placing will be governed by the terms of these Appendices;

2. acknowledges and agrees that no offering document, prospectus or admission document has been or will be prepared in connection with the Placing and represents and warrants that it has not received a prospectus, admission document or other offering document in connection with the Placing or the Placing Shares;

3. acknowledges that the ordinary shares in the capital of the Company are admitted to trading on AIM, and the Company is therefore required to publish certain business and financial information in accordance with the rules and practices of AIM (collectively, the "Exchange Information"), which includes a description of the nature of the Company's business and the Company's most recent balance sheet and profit and loss account and that it is able to obtain or access such Exchange Information without undue difficulty and is able to obtain access to such information or comparable information concerning any other publicly traded company without undue difficulty;

4. acknowledges that none of Mirabaud, FirstEnergy nor the Company nor any of their respective affiliates or any person acting on behalf of any of them has provided, and will not provide, it with any material regarding the Placing Shares or the Company other than this Announcement; nor has it requested any of Mirabaud, FirstEnergy,the Company, any of their respective affiliates or any person acting on behalf of any of them to provide it with any such information;

5. acknowledges that the content of this Announcement is exclusively the responsibility of the Company and that neither Mirabaud, FirstEnergy nor any person acting on its behalf has or shall have any liability for any information, representation or statement contained in this Announcement or any information previously published by or on behalf of the Company and will not be liable for any Placee's decision to participate in the Placing based on any information, representation or statement contained in this Announcement or otherwise. Each Placee further represents, warrants and agrees that the only information on which it is entitled to rely and on which such Placee has relied in committing itself to subscribe for the Placing Shares is contained in this Announcement and any information previously published by the Company by notification to a Regulatory Information Service, such information being all that it deems necessary to make an investment decision in respect of the Placing Shares and that it has neither received nor relied on any other information given or representations, warranties or statements made by Mirabaud, FirstEnergy or the Company and none of Mirabaud, FirstEnergy nor the Company will be liable for any Placee's decision to accept an invitation to participate in the Placing based on any other information, representation, warranty or statement. Each Placee further acknowledges and agrees that it has relied on its own investigation of the business, financial or other position of the Company in deciding to participate in the Placing;

6. acknowledges that none of Mirabaud, FirstEnergy nor any person acting on their behalf nor any of their respective affiliates has or shall have any liability for any publicly available or filed information, or any representation relating to the Company, provided that nothing in this paragraph excludes the liability of any person for fraudulent misrepresentation made by that person;

7. represents and warrants that it has complied with its obligations in connection with money laundering and terrorist financing under the Proceeds of Crime Act 2002, the Terrorism Act 2000, the Terrorism Act 2006 and the Money Laundering Regulations 2007 (the "Regulations") and, if making payment on behalf of a third party, that satisfactory evidence has been obtained and recorded by it to verify the identity of the third party as required by the Regulations;

8. if a financial intermediary, as that term is used in Article 3(2) of EU Directive 2003/71/EC (the "Prospectus Directive") (including any relevant implementing measure in any member state), represents and warrants that the Placing Shares subscribed for by it in the Placing will not be acquired on a non-discretionary basis on behalf of, nor will they be acquired with a view to their offer or resale to, persons in a member state of the European Economic Area which has implemented the Prospectus Directive other than to qualified investors, or in circumstances in which the prior consent of Mirabaud or FirstEnergy (as applicable) has been given to the proposed offer or resale;

9. represents and warrants that it has not offered or sold and will not offer or sell any Placing Shares to persons in the United Kingdom, except to persons whose ordinary activities involve them in acquiring, holding, managing or disposing of investments (as principal or agent) for the purposes of their business or otherwise in circumstances which have not resulted and which will not result in an offer to the public in the United Kingdom within the meaning of section 85(1) of the Financial Services and Markets Act 2000 ("FSMA");

10. represents and warrants that it has not offered or sold and will not offer or sell any Placing Shares to persons in the European Economic Area prior to Admission except to persons whose ordinary activities involve them in acquiring, holding, managing or disposing of investments (as principal or agent) for the purposes of their business or otherwise in circumstances which have not resulted in and which will not result in an offer to the public in any member state of the European Economic Area within the meaning of the Prospectus Directive (Directive 2003/71/EC) (including any relevant implementing measure in any member state);

11. represents and warrants that it has only communicated or caused to be communicated and will only communicate or cause to be communicated any invitation or inducement to engage in investment activity (within the meaning of section 21 of FSMA) relating to the Placing Shares in circumstances in which section 21(1) of FSMA does not require approval of the communication by an authorised person;

12. represents and warrants that it has complied and will comply with all applicable provisions of FSMA with respect to anything done by it in relation to the Placing Shares in, from or otherwise involving, the United Kingdom; 

13. represents and warrants that it is a person falling within Article 19(5) and/or Article 49(2)(a) to (d) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 or is a person to whom this Announcement may otherwise be lawfully communicated;

14. acknowledges that any offer of Placing Shares may only be directed at persons in member states of the European Economic Area who are "qualified investors" within the meaning of Article 2(1)(e) of the Prospectus Directive and represents and agrees that it is such a qualified investor;

15. represents and warrants that it is entitled to subscribe for Placing Shares under the laws of all relevant jurisdictions which apply to it, and that its subscription of the Placing Shares will be in compliance with applicable laws and regulations in the jurisdiction of its residence, the residence of the Company, or otherwise.

16. acknowledges and agrees that the Placing Shares have not been and will not be registered under the Securities Act or with any securities regulatory authority of any state or jurisdiction of the United States, or the relevant Canadian, Japanese, Australian, South African or Irish securities legislation and therefore the Placing Shares may not be offered, sold, transferred or delivered directly or indirectly into the United States, Canada, Japan, Australia, the Republic of South Africa or the Republic of Ireland or their respective territories and possessions, except subject to limited exemptions;

17. warrants that it has complied with all relevant laws of all relevant territories, obtained all requisite governmental or other consents which may be required in connection with the Placing Shares, complied with all requisite formalities and that it has not taken any action or omitted to take any action which will or may result in Mirabaud, FirstEnergy. the Company or any of their respective directors, officers, agents, employees or advisers acting in breach of the legal or regulatory requirements of any territory in connection with the Placing;

18. acknowledges and agrees that its purchase of Placing Shares does not trigger, in the jurisdiction in which it is resident or located: (i) any obligation to prepare or file a prospectus or similar document or any other report with respect to such purchase; (ii) any disclosure or reporting obligation of the Company; or (iii) any registration or other obligation on the part of the Company;

19. undertakes that it (and any person acting on its behalf) will make payment for the Placing Shares allocated to it in accordance with this Announcement on the due time and date set out herein, failing which the relevant Placing Shares may be placed with other subscribers or sold as Mirabaud and FirstEnergy may in their discretion determine and without liability to such Placee;

20. acknowledges that none of Mirabaud, FirstEnergy nor any of their respective affiliates, nor any person acting on behalf of any of them, is making any recommendations to it, advising it regarding the suitability of any transactions it may enter into in connection with the Placing and that participation in the Placing is on the basis that it is not and will not be a client of Mirabaud or FirstEnergy for the purposes of the Placing and that neither Mirabaud nor FirstEnergy have any duties or responsibilities to it for providing the protections afforded to its clients or for providing advice in relation to the Placing nor in respect of any representations, warranties, undertakings or indemnities contained in the Placing Agreement nor for the exercise or performance of any of its rights and obligations thereunder including any rights to waive or vary any conditions or exercise any termination right;

21. undertakes that the person whom it specifies for registration as holder of the Placing Shares will be (i) itself or (ii) its nominee, as the case may be. None of Mirabaud, FirstEnergy nor the Company will be responsible for any liability to stamp duty or stamp duty reserve tax resulting from a failure to observe this requirement. Each Placee and any person acting on behalf of such Placee agrees to participate in the Placing and it agrees to indemnify the Company, Mirabaud and FirstEnergy in respect of the same on the basis that the Placing Shares will be allotted to the CREST stock accounts of Mirabaud and FirstEnergy (as applicable) who will hold them as nominee on behalf of such Placee until settlement in accordance with its standing settlement instructions;

22. acknowledges that these terms and conditions and any agreements entered into by it pursuant to these terms and conditions and any non-contractual obligations arising out of or in connection with such agreements shall be governed by and construed in accordance with the laws of England and Wales and it submits (on behalf of itself and on behalf of any person on whose behalf it is acting) to the exclusive jurisdiction of the English courts as regards any claim, dispute or matter arising out of any such contract, except that enforcement proceedings in respect of the obligation to make payment for the Placing Shares (together with any interest chargeable thereon) may be taken by the Company, Mirabaud or FirstEnergy in any jurisdiction in which the relevant Placee is incorporated or in which any of its securities have a quotation on a recognised stock exchange; 

23. acknowledges that Mirabaud, FirstEnergy and their respective affiliates will rely upon the truth and accuracy of the representations, warranties and acknowledgements set forth herein and which are irrevocable and it irrevocably authorises Mirabaud and FirstEnergy to produce this Announcement, pursuant to, in connection with, or as may be required by any applicable law or regulation, administrative or legal proceeding or official inquiry with respect to the matters set forth herein;

24. agrees to indemnify and hold the Company, Mirabaud, FirstEnergy and their respective affiliates harmless from any and all costs, claims, liabilities and expenses (including legal fees and expenses) arising out of or in connection with any breach of the representations, warranties, acknowledgements, agreements and undertakings in the Appendices and further agrees that the provisions of the Appendices shall survive after completion of the Placing;

25. represents and warrants that it will acquire any Placing Shares subscribed for by it for its account or for one or more accounts as to each of which it exercises sole investment discretion and it has full power to make the acknowledgements, representations and agreements herein on behalf of each such account;

26. acknowledges that its commitment to subscribe for Placing Shares on the terms set out herein and in the relevant contract notes will continue notwithstanding any amendment that may in future be made to the terms of the Placing and that Placees will have no right to be consulted or require that their consent be obtained with respect to the Company's conduct of the Placing. The foregoing representations, warranties and confirmations are given for the benefit of the Company, Mirabaud and FirstEnergy. The agreement to settle a Placee's subscription (and/or the subscription of a person for whom such Placee is contracting as agent) free of stamp duty and stamp duty reserve tax depends on the settlement relating only to the subscription by it and/or such person direct from the Company for the Placing Shares in question. Such agreement assumes, and is based on a warranty from each Placee, that neither it, nor the person specified by it for registration as holder, of Placing Shares is, or is acting as nominee or agent for, and that the Placing Shares will not be allotted to, a person who is or may be liable to stamp duty or stamp duty reserve tax under any of sections 67, 70, 93 and 96 of the Finance Act 1986 (depositary receipts and clearance services). If there are any such arrangements, or the settlement relates to any other dealing in the Placing Shares, stamp duty or stamp duty reserve tax may be payable. In that event the Placee agrees that it shall be responsible for such stamp duty or stamp duty reserve tax, and none of the Company, Mirabaud nor FirstEnergy shall be responsible for such stamp duty or stamp duty reserve tax. If this is the case, each Placee should seek its own advice and notify Mirabaud and/or FirstEnergy accordingly;

27. understands that no action has been or will be taken by any of the Company, Mirabaud, FirstEnergy or any person acting on behalf of the Company, Mirabaud or FirstEnergy that would, or is intended to, permit a public offer of the Placing Shares in any country or jurisdiction where any such action for that purpose is required;

28. in making any decision to subscribe for the Placing Shares, confirms that it has knowledge and experience in financial, business and international investment matters as is required to evaluate the merits and risks of subscribing for the Placing Shares. It further confirms that it is experienced in investing in securities of this nature in this sector and is aware that it may be required to bear, and is able to bear, the economic risk of, and is able to sustain a complete loss in connection with the Placing. It further confirms that it relied on its own examination and due diligence of the Company and its associates taken as a whole, and the terms of the Placing, including the merits and risks involved;

29. represents and warrants that it has (a) made its own assessment and satisfied itself concerning legal, regulatory, tax, business and financial considerations in connection herewith to the extent it deems necessary; (b) had access to review publicly available information concerning the Group that it considers necessary or appropriate and sufficient in making an investment decision; (c) reviewed such information as it believes is necessary or appropriate in connection with its subscription of the Placing Shares; and (d) made its investment decision based upon its own judgment, due diligence and analysis and not upon any view expressed or information provided by or on behalf of Mirabaud and/or FirstEnergy; 

30. understands and agrees that it may not rely on any investigation that Mirabaud, FirstEnergy or any person acting on either of their behalf may or may not have conducted with respect to the Company, its Group, or the Placing and neither Mirabaud nor FirstEnergy have made any representation to it, express or implied, with respect to the merits of the Placing, the subscription for the Placing Shares, or as to the condition, financial or otherwise, of the Company, its Group, or as to any other matter relating thereto, and nothing herein shall be construed as a recommendation to it to subscribe for the Placing Shares. It acknowledges and agrees that no information has been prepared by Mirabaud, FirstEnergy or the Company for the purposes of this Placing;

31. accordingly it acknowledges and agrees that it will not hold Mirabaud, FirstEnergy or any of their respective affiliates or any person acting on its behalf responsible or liable for any misstatements in or omission from any publicly available information relating to the Group or information made available (whether in written or oral form) in presentations or as part of roadshow discussions with investors relating to the Group (the "information") and that neither Mirabaud, FirstEnergy nor any person acting on behalf of Mirabaud or FirstEnergy, makes any representation or warranty, express or implied, as to the truth, accuracy or completeness of such Information or accepts any responsibility for any of such Information; and

32. understands that the Placing Shares have not been and will not be registered under the Securities Act or with any securities regulatory authority of any state or other jurisdiction of the United States, and accordingly, may not be offered or sold or otherwise transferred in the United States or to, or for the account or benefit of, US Persons except pursuant to a registration statement under the Securities Act or an exemption from the registration requirements of the Securities Act and, in connection with any such transfer, the Company shall be provided, as a condition to transfer, with a legal opinion of counsel, in form and by counsel reasonably satisfactory to the Company, that no such Securities Act registration is or will be required and with appropriate certifications by the transferee as to Accredited Investor status and/or other appropriate matters.

33. If Placees are purchasing the Placing Shares pursuant to Regulation S promulgated under the Securities Act, each Placee (and any person acting on such Placee's behalf) agrees, represents and warrants as follows:

a. it is, at the time of the offer and acceptance of the Placing Shares, outside the United States for the purposes of Regulation S;

b. it is not a US Person and is not acquiring the Placing Shares for the account or benefit of a US Person;

c. it will not offer or sell the Placing Shares in the United States or to US Persons absent registration or an exemption from registration under the Securities Act;

d. it will not offer or sell the Placing Shares to a US Person or for the account or benefit of a US Person until 40 days after the later of the commencement of the Placing or the date on which such Placing Shares were originally issued. It will send to each distributor (as defined in Section 2(a)(12) of the Securities Act) or person receiving a selling concession, fee or other remuneration in respect of the securities sold, prior to the expiration of a 40-day distribution compliance period, a confirmation or other notice to the purchaser stating that the purchaser is subject to the same restrictions on offers and sales that apply to a distributor;

e. it is aware that the Placing Shares are being offered outside the United States in reliance on Regulation S;

f. if it offers or sells the Placing Shares prior to the 40-day compliance period, such offer or sale shall be made only in accordance with the provisions of Rule 903 or 904 under the Securities Act, pursuant to registration of the Placing Shares under the Securities Act, or pursuant to an available exemption from the registration requirements of the Securities Act;

g. it did not purchase or otherwise acquire the Placing Shares based on or due to directed selling efforts (as defined in Rule 902 under the Securities Act), including based on an advertisement in a publication with a general circulation in the United States, nor has it seen or been aware of any activity that, to its knowledge, constitutes directed selling efforts in the United States;

h. it will inform each purchaser who purchases the Placing Shares from it of the transfer restrictions stated herein and that if in the future such purchaser decides to offer, resell, pledge, or otherwise transfer such Placing Shares, any offer, resale or transfer must be made in compliance with the Securities Act;

i. it is not a Plan (which term includes (a) employee benefit plans that are subject to Section 406 of the US Employee Retirement Income Security Act of 1974, as amended ("ERISA"), or plans, individual retirement accounts and other arrangements that are subject to Section 4975 of the US Internal Revenue Code of 1986, as amended (the "Code"), (b) plans, individual retirement accounts and other arrangements that are subject to provisions under applicable US federal, state, local or other laws or regulations that are substantially similar to Section 406 of the ERISA or Section 4975 of the Code ("Similar Laws") and (c) entities the underlying assets of which are considered to include "plan assets" of such plans, accounts and arrangements) and are not purchasing the Placing Shares on behalf of, or with the "plan assets" of, any Plan.

34. If Placees are purchasing the Placing Shares pursuant to Regulation D of the Securities Act, each Placee (and any person acting on such Placee's behalf) agrees, represents and warrants as follows:

a. it is an Accredited Investor as defined in Rule 501(a) of Regulation D promulgated under the Securities Act;

b. it is not a Plan (which term includes (a) employee benefit plans that are subject to Section 406 of the US Employee Retirement Income Security Act of 1974, as amended ("ERISA"), or plans, individual retirement accounts and other arrangements that are subject to Section 4975 of the US Internal Revenue Code of 1986, as amended (the "Code"), (b) plans, individual retirement accounts and other arrangements that are subject to provisions under applicable US federal, state, local or other laws or regulations that are substantially similar to Section 406 of the ERISA or Section 4975 of the Code ("Similar Laws") and (c) entities the underlying assets of which are considered to include "plan assets" of such plans, accounts and arrangements) and are not purchasing the Placing Shares on behalf of, or with the "plan assets" of, any Plan;

c. it agrees that the Company may require a certification from it in support of any transfer, in form and substance satisfactory to the Company, and agrees that the Company, the registrar, CREST or any transfer agent may reasonably require additional evidence or documentation supporting compliance with applicable securities laws, and prior to any sale or transfer, the Company may require the delivery of such certifications, notifications, agreements and warranties and legal opinions of duly qualified counsel as it may reasonably require (including but not limited to the transferees that are not US Persons) to confirm that the proposed sale or other transfer complies with the foregoing restrictions;

d. it acknowledges that the Company reserves the right to make inquiries of any holder of the Placing Shares or interests therein at any time as to such person's status under US securities laws, and to require any such person that has not satisfied the Company that such person is holding appropriately under US securities laws to transfer such Placing Shares or interests therein immediately to the Company;

e. if it is acquiring the Placing Shares for the account of one or more other persons, it has sole investment discretion with respect to each such account and has full power and authority to make the confirmations, acknowledgements, warranties and undertakings herein on behalf of each such account;

f. it is purchasing the Placing Shares for its own account or for one or more investment accounts for which it is acting as a fiduciary or agent, in each case for investment only, and not with a view to or for sale or other transfer in connection with any distribution of the Placing Shares in any manner that would violate the Securities Act or otherwise cause the Company's assets to become subject to ERISA;

g. it understands and acknowledges that neither the Company nor any of its respective affiliates, makes any representation as to the availability of any exemption under the Securities Act for the reoffer, resale, pledge or transfer of the Placing Shares;

h. it agrees that the Placing Shares are "restricted securities" for US securities law purposes which may not be deposited into any unrestricted depositary facility established or maintained by a deposited bank. As such, it agrees not to offer or sell the Placing Shares to any person other than in compliance with the following restrictions which apply to all its Placing Shares and which shall be affixed in the form of a legend to any certificates of Placing Shares:

"THE SECURITIES REPRESENTED BY THIS CERTIFICATE (OR ITS PREDECESSOR) HAVE NOT BEEN REGISTERED UNDER THE US SECURITIES ACT OF 1933, AS AMENDED (THE "SECURITIES ACT") OR THE SECURITIES LAWS OF ANY STATE OR OTHER JURISDICTION IN THE UNITED STATES, AND, ACCORDINGLY, MAY NOT BE OFFERED, SOLD, PLEDGED, HEDGED OR OTHERWISE TRANSFERRED, EXCEPT (A) IN AN OFFSHORE TRANSACTION MEETING THE REQUIREMENTS OF RULE 903 OR 904 OF REGULATION S UNDER THE SECURITIES ACT (AND IS NOT ACTING IN A PREARRANGED TRANSACTION RESULTING IN THE RESALE OF THESE SECURITIES INTO THE UNITED STATES); (B) IN A TRANSACTION MEETING THE REQUIREMENTS OF RULE 144 UNDER THE SECURITIES ACT; (C) IN ACCORDANCE WITH ANOTHER EXEMPTION FROM THE REGISTRATION REQUIREMENTS OF THE SECURITIES ACT; OR (D) PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER THE SECURITIES ACT, SUBJECT, IN THE CASES OF CLAUSES (A), (B) AND (C), TO THE RIGHT OF THE ISSUER TO OBTAIN, IF THE ISSUER SO REQUESTS, AN OPINION, IN FORM AND SUBSTANCE AND FROM COUNSEL SATISFACTORY TO THE ISSUER AT THE EXPENSE OF THE HOLDER OF THIS CERTIFICATE, WHICH PROVIDES THAT SUCH OFFER, SALE, PLEDGE, HEDGE OR TRANSFER IS IN COMPLIANCE WITH THE SECURITIES ACT AND ALL APPLICABLE SECURITIES LAWS OF ANY STATE OF THE UNITED STATES OR ANY OTHER APPLICABLE JURISDICTION.

EXCEPT AS OTHERWISE DETERMINED BY THE ISSUER, THE SECURITIES REPRESENTED BY THIS CERTIFICATE (OR ITS PREDECESSOR) MAY NOT BE DEMATERIALISED INTO CREST OR ANY OTHER PAPERLESS SYSTEM UNLESS THE PARTY REQUESTING SUCH DEMATERIALISATION FIRST OBTAINS A LETTER FROM THE TRANSFERREE STATING THAT SUCH TRANSFERREE IS NOT A US PERSON (AND IS NOT ACTING IN A PREARRANGED TRANSACTION RESULTING IN THE RESALE OF THESE SECURITIES INTO THE UNITED STATES) OR MAKES SUCH OTHER REPRESENTATIONS REQUESTED BY THE ISSUER."

The Placee agrees, on its own behalf and on behalf of any accounts for which the Placee is acting, that if the Placee should offer, resell, pledge or otherwise transfer any Regulation D Placing Shares, it will do so only (i) in an offshore transaction meeting the requirements of Rule 903 or 904 of Regulation S under the Securities Act (and not in a prearranged transaction resulting in the resale of such Regulation D Placing Shares into the US), (ii) in a transaction meeting the requirements of Rule 144 under the Securities Act, (iii) in accordance with another exemption from the registration requirements of the Securities Act, or (iv) pursuant to an effective registration statement under the Securities Act, provided that the Placee notify the Company of such proposed transaction and that the Placee intends to make such sale in accordance with the terms of this paragraph, and that, such offer, resale, pledge or transfer must, and will, be made in accordance with any applicable securities laws of any US state or other jurisdiction of the US. The Placee understands and acknowledges that any offer, resale, pledge or transfer made other than in compliance with the restrictions contained in this paragraph may not be recognised by the Company;

i. the Regulation D Placing Shares shall only be eligible for settlement through CREST if approved by the Company and if requested by the Company, the purchaser provides a signed letter addressed to the Company, containing certain representations regarding compliance with United States securities laws;

j. it has not purchased the Regulation D Placing Shares as a result of "general solicitation" or "general advertising" (within the meaning of Rule 502(c) under the Securities Act), including advertisements, articles, research reports, notices or other communications published in any newspaper, magazine, on a website or in or on any similar media, or broadcast over radio or television, or any seminar or meeting whose attendees have been invited by general solicitation or general advertising; and

k. it will inform each purchaser who purchases the Regulation D Placing Shares from it of the transfer restrictions stated herein and that if in the future such purchaser of the Regulation D Placing Shares decides to offer, resell, pledge, or otherwise transfer such Placing Shares, any offer, resale or transfer must be made in compliance with the Securities Act.

In addition, Placees should note that they will be liable for any stamp duty and all other stamp, issue, securities, transfer, registration, documentary or other duties or taxes (including any interest, fines or penalties relating thereto) payable outside the United Kingdom by them or any other person on the subscription by them of any Placing Shares or the agreement by them to subscribe for any Placing Shares.

Each Placee and any person acting on behalf of each Placee acknowledges and agrees that Mirabaud, FirstEnergy or any of their respective affiliates may, at their absolute discretion, agree to become a Placee in respect of some or all of the Placing Shares.

When a Placee or person acting on behalf of the Placee is dealing with Mirabaud, any money held in an account with Mirabaud on behalf of the Placee and/or any person acting on behalf of the Placee will not be treated as client money within the meaning of the rules and regulations of the FSA made under FSMA. The Placee acknowledges that the money will not be subject to the protections conferred by the client money rules; as a consequence, this money will not be segregated from Mirabaud money in accordance with the client money rules and will be used by Mirabaud in the course of its own business; and the Placee will rank only as a general creditor of Mirabaud. 

When a Placee or person acting on behalf of the Placee is dealing with FirstEnergy, any money held in an account with FirstEnergy on behalf of the Placee and/or any person acting on behalf of the Placee will not be treated as client money within the meaning of the rules and regulations of the FSA made under FSMA. The Placee acknowledges that the money will not be subject to the protections conferred by the client money rules; as a consequence, this money will not be segregated from FirstEnergy's money in accordance with the client money rules and will be used by FirstEnergy in the course of its own business; and the Placee will rank only as a general creditor of FirstEnergy. 

All times and dates in this Announcement may be subject to amendment. Mirabaud or FirstEnergy (as applicable) shall notify the Placees and any person acting on behalf of the Placees of any changes.

Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser.

Appendix II

Definitions

The following definitions apply throughout this announcement, unless otherwise stated or the context requires otherwise:

**ENDS**