TIDMPPC
RNS Number : 7203O
President Energy PLC
12 October 2021
12 October 2021
PRESIDENT ENERGY PLC
("President" or the "Company")
Mobilisation for Puesto Guardian commenced
Louisiana production
Paraguay farm-out
Atome spin off
Share premium account
President Energy (AIM: PPC), the energy company with a diverse
portfolio of energy assets, announces an update on various of its
activities.
Puesto Guardian Concession, Salta Province, Argentina
The Company anticipates that drilling of the first well of three
firm, two contingent well program will commence towards the end of
October 2021 with two wells projected to be drilled by the end of
the year and the third to be completed in January 2022.
Mobilisation is in progress with loads travelling from Neuquén
to Puesto Guardian, Salta Province, a distance of 1,950km. The same
distance will have to be travelled by other services required for
drilling which reflects the significant overland logistical
exercise including dealing with the various provincial authorities
and permissions needed en route.
The results of the re-processing of seismic over the Pozo
Escondido field at Puesto Guardian will be available in good time
to allow the final investment decision to be made in relation to
two contingent wells before the end of year; if positive, and
subject to the success of prior drilled wells, these would be
drilled from February 2022 onwards.
Triche well, Louisiana
President has now been able to swab this well back on stream
without workover rig intervention albeit on a temporary and reduced
basis pending a full workover of the Triche well. Whilst the
initial production level on opening up the well of only some 30
barrels of oil per day from Triche is substantially lower than the
level which is projected once the workover takes place, it
nevertheless is helpful in providing some income pending
availability of an adequately sized barge to carry the already
reserved workover rig which is still projected in the near future
.
A further update on these wells will be given in November .
Paraguay Farm Out
Good progress has been made as to the satisfaction of the last
remaining condition to the farm-out agreement. Although later than
originally envisaged, it is now expected that this condition will
be satisfied by the end of October with closing of the farm-out in
November. Projected commencement of drilling the high impact
exploration well is slated for H1 2022.
Atome
Good progress is being made on the ground in both the countries
referred to in past announcements where Atome's first projects are
located. The Nomad, brokers and reporting accountants have all been
appointed and are working with the executive team towards a
flotation of Atome on the AIM market of the London Stock Exchange
before the end of this year under the ticker "ATOM".
Cancellation of share premium account and potential
distribution
Further to the passing of the Special Resolution at the recent
Annual General Meeting of the Company, it is anticipated that the
High Court will on 16 November 2021 consider the proposed capital
reduction by way of the cancellation of the Company's share premium
account. If approved, it is anticipated that the capital reduction
will be effective shortly after this date.
As previously announced, in the event that the flotation of
Atome proceeds, and subject to confirmatory tax advice, the
Directors intend, if the timing is right, to distribute by way of a
special dividend (or other distribution) a significant part of
President's holding in Atome to President's shareholders
immediately prior to Atome joining the market. Major shareholders
in President have informally indicated their support for this move
and willingness to hold shares in Atome. A record date for
entitlement to any such distribution will be communicated nearer
the time when there is greater certainty.
The Directors co ntinue to believe that such a distribution will
be of significant added value to President's shareholders and,
given the number of shareholders in President, it will as a
consequence result in Atome having a wide investor base comprising
institutions and private investors from its start as an AIM listed
company. This should provide liquidity, a beneficial feature for
the after-market, as well as a platform for any placing that maybe
carried out by Atome at the time of admission to AIM.
Peter Levine, Chairman, commented
"This announcement reflects the breadth and depth of President's
activities without even taking into account our core operationally
profitable production assets in the Neuquén Basin, Argentina
throwing off free cash from operations. It is all too easy to gloss
over the amount of work by our teams involved in each of these
separate workstreams which are taking place simultaneously in
geographically diverse locations.
"As to Atome, our green hydrogen and ammonia business, we look
forward as soon as commercially prudent to providing more specific
information on all activities which are both extensive and
progressing.
"We at President believe that hydrogen will inevitably be one of
the cheapest sources of renewable energy for many applications
which electric batteries are constrained in addressing, such as
heavy goods transport, heavy industries and marine/shipping. In
fact, given the technical challenges of these hard to abate
sectors, we believe that hitting net zero targets without hydrogen
will be very challenging as well as enormously costly.
"Currently some 95% of all hydrogen in the world is made through
fossil fuels, principally natural gas. Given the expected price
increases impacting the competitiveness of this so-called grey or
blue hydrogen, we consider that green hydrogen will become
increasingly commercially attractive and hence in higher demand
globally both on price and for its zero emissions profile. This
reinforces the rationale for President's focus on Atome.
"Additionally, we expect that Atome's focus of producing
hydrogen from readily available existing green power sources should
make Atome very competitive in this exciting fast-growing new
sector.
"Whilst all of our workstreams have their challenges and as such
for not want of trying, targets and times can slip, shareholders
can be assured that the whole of President is fully focused and
motivated to bring these activities home for the Group."
Contact:
President Energy PLC +44 (0) 207 016 7950
Nikita Levine, Investor Relations info@presidentpc.com
finnCap (Nominated Advisor and broker)
Christopher Raggett, Tim Harper
Blytheweigh (Public Relations to +44 (0) 207 220 0500
Atome)
Tim Blythe, Alice McLaren, Madeleine
Gordon-Foxwell + 44 (0) 755 499 7357
Notes to Editors
President Energy is an oil and gas company listed on the AIM
market of the London Stock Exchange (PPC.L) primarily focused in
Argentina, with a diverse portfolio of operated onshore producing
and exploration assets.
The Company has operated interests in the Puesto Flores,
Estancia Vieja, Puesto Prado and Las Bases Concessions, and
Angostura exploration contract, all of which are situated in the
Rio Negro Province in the Neuquén Basin of Argentina and in the
Puesto Guardian Concession, in the Noroeste Basin in NW Argentina.
Alongside this, President Energy has cash generative production
assets in Louisiana, USA and further significant exploration and
development opportunities through its acreage in Paraguay and
Argentina.
The Group is also actively pursuing value accretive acquisitions
of high-quality production and development assets capable of
delivering positive cash flows and shareholder returns. With a
strong strategic and institutional base of support, including the
international commodity trader and logistics company Trafigura, an
in-country management team as well as the Chairman whose interests
as the largest shareholder are aligned to those of its
shareholders, President Energy gives UK investors access to an
energy growth story combined with world class standards of
corporate governance, environmental and social responsibility.
This announcement contains inside information for the purposes
of article 7 of Regulation 596/2014
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
DRLFLFSDIFLLLIL
(END) Dow Jones Newswires
October 12, 2021 02:00 ET (06:00 GMT)
Molecular Energies (LSE:MEN)
Gráfica de Acción Histórica
De Mar 2024 a Abr 2024
Molecular Energies (LSE:MEN)
Gráfica de Acción Histórica
De Abr 2023 a Abr 2024
