19 Nov 2015 10:03
LON:KEA 19 November 2015
KEA PETROLEUM PLC
("Kea" or the "Company")
Meetings of Members and Creditors in a Winding Up
The Directors have reluctantly concluded that it is no longer feasible to proceed with plans to convert the Company into an investing company and have initiated the procedures to voluntarily wind up the Company. The Company's solvency has been dependent on the forbearance of its creditors and the future prospective sale of PEP51153, the Company's principal remaining asset. Unfortunately the Company has experienced protracted delays in concluding this sale. Accordingly, the Directors will call meetings of members and creditors to seek the approval of the appointment of Stephen Cork and Joanne Milner of Cork Gully LLP as Joint Liquidators. These meetings are expected to be held in December.
Background
In its update of 5 November 2015 regarding the disposal of its oil and gas assets, the Company set out that its financial position remained critical and that it would need to raise further funds for its present needs, and to continue as a proposed investing company. It stated it would need to raise further funds by 26 November 2015 in order to seek a restoration of trading in its shares.
The disposal of PEP51153 is conditional on the consent of the New Zealand Petroleum and Minerals regulatory body for oil and gas in giving a Section 41 approval. This consent remains outstanding.
As a result of recent developments in New Zealand, the likelihood of the securing the required Section 41 consent in the near future appears now to be remote. Accordingly the Directors have concluded they have no option but to engage the services of an Insolvency Practitioner.
Suspension from Trading
The trading in the Company's shares has been suspended from trading since 26 May 2015 pending clarification of its financial position. The Company's shares will remain suspended from trading and are due to be cancelled from AIM at 7am on 27 November 2015.
Further updates will be provided to shareholders as soon as possible.
For further information please contact:
Kea Petroleum plc David Lees, Executive Director
| Tel: +44 (0)20 7340 9970
|
WH Ireland Limited (Nomad) James Joyce James Bavister
| Tel: +44 (0)20 7220 1666 |
Buchanan Mark Court Sophie Cowles | Tel: +44 (0)20 7466 5000 |