On 19 February 2014, Sencap Limited , a newly formed subsidiary of the Company, acquired from Trace Atlantic Oil Limited (“TAOL”) a 49 per cent interest in TAOL Senegal (Djiffere) Limited (“TAOL Djiffere”), the company holding the Djiffere Licence.
The total consideration for the acquisition of the 49 per cent interest in TAOL Djiffere was USD 150,000. Cap has also paid USD 461,461 to TAOL Djiffere in respect of 49% of TAOL Djiffere’s historic costs.
Cap Energy Plc announced that the company is giving notice of its intention to withdraw its ordinary shares of 5 pence each in the company from trading on the ISDX Growth Market with effect from the close of business on October 2, 2015. The principal reasons for the ordinary shares being traded on the ISDX Growth Market were: to enable the company to access development capital more effectively than if it were an unquoted company; to increase the company's profile with customers, suppliers and potential acquisition targets; and to have publicly traded shares, which would be more attractive as consideration for potential acquisitions than shares in a private company. However, as a result of the very limited liquidity in the market, difficulties in raising additional funding from people other than the Directors and high net worth individuals introduced by the Directors and the sustained low oil price increasing the potential for capital constraints throughout the industry, it has become apparent that these objectives cannot be met and, as a consequence, the Directors no longer feel able to justify the continued costs associated with the company's admission to the market. The Directors have therefore concluded that it is in the best interests of the company and its shareholders for the company to leave the market. Accordingly, the company is on September 7, 2015 notifying the ISDX Growth Market of its intention to withdraw from the market and it is anticipated that trading in the Ordinary Shares on the ISDX Growth Market will cease at the close of business on October 2, 2015. http://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=24376621
Sep 2015: CAP Energy enters into a Farm-In Option Agreement with ASX-listed FAR Ltd
So looks like CAP didn't have much cash to do too much with the DJ lease, so needed FAR to run the 3D seismic so that CAP could retain the DJ lease.
Looks like FAR saved CAP and Trace's bacon by spending more than CAP spent on their % interest.
FAR Price at posting:
7.9¢ Sentiment: Buy Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)