16 Aug 2011 07:00
16 August 2011
Victoria Oil & Gas Plc
('VOG' or 'the Company')
(AIM: VOG)
Application for Listing of shares and Directors' shares interests
Victoria Oil & Gas Plc, the AIM quoted oil and gas exploration company with assets in Cameroon and the FSU, announces that following the grant of the Exploitation Licence for the Logbaba site in Cameroon, a total of 29,354,285 shares have been allotted in settlement of deferred consideration and deferred bonus obligations contained in agreements previously entered into by the Company's subsidiary Bramlin Limited.
In addition, a total of 1,384,080 shares have been allotted to Directors and employees in lieu of cash salary for the six month period ended 31 July 2011 at a weighted average month-end market price of 4.8 pence per share.
The effect of the above allotments on the disclosable interests of directors of the Company is as follows:-
| Shares allotted | Total Shareholding in VOG following allotments | |
Kevin Foo* | 4,758,958 | 52,655,599 | 2.41% |
Robert Palmer | 135,898 | 1,130,614 | 0.05% |
*The shares are held by H J Resources Limited on behalf of a discretionary trust, of which Kevin Foo and his wife are potential beneficiaries.
An application has been made to the London Stock Exchange for 30,738,365 ordinary shares to be admitted to trading on AIM and it is expected that admission will occur at 8.00 a.m. on 19 August 2011. Following admission, the Company will have 2,184,269,463 ordinary shares in issue. The new ordinary shares will rank pari passu in all respects with the existing ordinary shares.
For further information, please contact:
Victoria Oil & Gas Plc - Tel: +44 (0) 20 7921 8820
Kevin Foo / Martin Devine
Strand Hanson Limited - Tel: +44 (0) 20 7409 3494
Simon Raggett / Angela Peace
Fox-Davies Capital - Tel: +44 (0) 203 463 5010
Daniel Fox-Davies/ Richard Hail
Tavistock Communications - Tel: +44 (0) 20 7920 3150
Ed Portman/ Paul Youens
Background Information on Victoria Oil & Gas Plc:
Victoria Oil & Gas is an independent oil and gas exploration and production company with projects in Africa and the FSU. The Company's principal assets are the Logbaba gas and gas condensate project in Cameroon and the West Medvezhye project in Siberia, Russia. Logbaba is located in Douala, the economic capital of Cameroon. The field was discovered in the 1950s and all four exploration wells encountered gas. The Company drilled two successful development wells in 2009/10.
The Company received an Exploitation Licence for the development of the Logbaba Field by Presidential Decree on 29 April 2011.
Logbaba has proven and probable reserves of 212 billion cubic feet of gas (35.3 million barrels of oil equivalent) and the Company expects gas sales of 8 million standard cubic feet per day ('mmscf/d') in the first year of operations rising to 44 mmscf/d (7,300 barrels of oil a day equivalent) by the end of 2014. The pipeline has a capacity of 60 mmscf/d, which is anticipated to be of sufficient size for the Douala industrial market over the medium term.
The Company's current proved and probable reserves are sufficient to supply an average of 30 mmscf/d for the next 20 years. In the longer term, as further reserves may be proven, gas may be supplied to large gas fired power stations connected to the grid, with either VOG investing in an independent power producer joint venture or selling the gas to third parties.
Condensate separated from the gas at the process plant will be stabilised and stored for export to the Sonara refinery at Limbe. Condensate production is forecast at the rate of 20 barrels per million cubic feet of gas. West Medvezhye is situated in the prolific Yamal-Nenetsk hydrocarbon region in Siberia. An independent reserve audit estimated prospective resources for the area of over 1.1 billion barrels of oil equivalent. The Company also has a discovery well, 103, with C1 and C2 reserves, independently assessed under the Russian classification convention of 14.4 million boe as approved by the Russian Ministry of Natural Resources.
Reprocessing of 845km of 2D seismic has recently been completed and geophysical/geological modelling is currently underway. In addition, further to the award of a 25 year Exploitation Licence, development studies are in progress to commercialise the Well-103 discovery and prospective resources.