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Pin to quick picksNostra Terra Regulatory News (NTOG)

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Issue of Equity

4 Mar 2016 07:00

RNS Number : 9054Q
Nostra Terra Oil & Gas Company PLC
04 March 2016
 

AIM:NTOG 4 March 2016

 

Nostra Terra Oil and Gas Company plc

("Nostra Terra" or the "Company")

 

Issue of Equity

 

Nostra Terra (AIM:NTOG), the oil and gas exploration and production company with a portfolio of assets in the USA and Egypt, is pleased to announce that it has raised gross proceeds of £350,000 via the issue of 350,000,000 new ordinary shares in the Company ("Placing Shares") at 0.10 pence per share. Nostra Terra intends to use the net proceeds to strengthen its balance sheet while seeking additional acquisitions.

 

The placing price represents a slight premium to the Company's closing mid-price of 0.975 pence on 1 March 2016, being the latest practicable business day prior to this announcement.

 

In addition, each Placing Share has one warrant attached with the right to subscribe for one new ordinary share at a price of 0.10 pence per shares for a period of two years from today.

 

The Placing Shares will rank pari passu in all respects with the Company's existing issued ordinary shares and will be equivalent to 9.4% of the enlarged issued share capital. Application has been made for the admission of the Placing Shares to trading on AIM and it is expected that admission will occur and that dealings will commence at 8.00 a.m. on 8 March 2016. The Placing is conditional, inter alia, on Admission becoming effective.

 

Following Admission, the Company's issued share capital will consist of 3,709,578,276 Ordinary Shares with no Ordinary Shares held in treasury. Therefore the above figure of 3,709,578,276 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, the share capital of the Company under the FCA's Disclosure and Transparency Rules.

 

Cornhill Capital Limited has today been appointed as sole broker to the Company with immediate effect.

 

 

Matt Lofgran, Chief Executive Officer of Nostra Terra, commented:

 

"Last week we announced the acquisition of a 60% interest in a prospect in The Permian Basin where only 20% of the reserves are PDP (proven developed producing), leaving significant scope for improvement, and where the lifting costs are an average of $17 a barrel making it profitable even at these historically low oil prices. The money raised, at a premium, will strengthen the balance sheet while providing additional funds to explore additional acquisitions. As previously stated, we are actively pursuing additional opportunities, some of which are in advanced negotiations."

 

 

 

For further information, visit www.ntog.co.uk or contact:

 

Nostra Terra Oil and Gas Company plc

Matt Lofgran, CEO Telephone: +1 480 993 8933

mlofgran@ntog.co.uk

 

Sanlam Securities UK Limited

Nominated adviser

Simon Clements / James Thomas Telephone: +44 20 7628 2200

 

Corhill Capital Limited

Broker

Nick Bealer / Colin Rowbury Telephone: +44 20 7710 9610

 

 

Walbrook PR

Gary Middleton / Nick Rome Telephone: +44 207 933 8797

 

This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
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