News listings

energy-pedia general news

Eco (Atlantic) announces further share purchase in JHI


19 Jan 2022

Photo - see caption

Eco (Atlantic) Oil & Gas, the oil and gas exploration company focused on the offshore Atlantic Margins, has purchased an additional 800,000 common shares in JHI Associates Inc. in return for 1,200,000 new common shares in Eco. The purchase of the 800,000 common shares in JHI is expected to be completed on 21st January 2022, increasing the total number of shares currently held by Eco in JHI to 5,800,000 shares.

As announced on 28 June 2021, Eco acquired 5 million common shares representing a 6.4% interest in JHI Associates Inc., a private Canadian company, which holds a 17.5% working interest in the Guyana Canje Block.  The Operator of the Canje block, ExxonMobil and block partners are working to technically define additional drilling prospects in the cretaceous and deeper in the santonian, where the Sapote-1 well recorded hydrocarbon shows while drilling in 2021 and following the January 2022 santonian Fangtooth-1 discovery on the prolific Stabroek Block offshore Guyana.

Following the above purchase, Eco will hold a total of 5,800,000 common shares in JHI, representing approx. 7.35% of the issued common shares in JHI. Eco also retains a warrant to subscribe for a further 9,155,471 new common shares in JHI at an exercise price of US$2.0 per share for a period of eighteen months. If the JHI Warrant is exercised in full, Eco will hold an interest, ceteris paribus, of 11.4% in JHI on a fully diluted basis.

This investment is consistent with Eco's strategy to create shareholder value through advanced exploration programs on the offshore Atlantic margins for advantaged barrels as developing nations bridge the essential reserve requirements through the stages of the energy transition. 

Further details regarding the JHI Investment

As at 31 December 2020, JHI had net assets of approx. US$46.3 million and recorded a net loss of approximately US$8.28 million. Based on the closing share price of Eco on 18 January 2022 the Consideration Shares are valued at approximately £312,000.

Application has been made for admission of the Consideration Shares, which will rank pari passu with existing Common Shares, to trading on AIM. It is expected that Admission will become effective and trading will commence at 8.00 a.m. on 24 January 2022.

Following Admission, the enlarged issued share capital of the Company will be 202,693,635 Common Shares. The above figure 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.

Gil Holzman Co-Founder and CEO of Eco Atlantic commented:

'"We are committed to creating material value for our shareholders through a multi catalyst, high impact, exploration portfolio. As such, we are pleased to increase our exposure in the Canje Block by building our equity holding in JHI.  This also marks another step in the broader consolidation amongst smaller exploration players, in which we want to lead. Following the work undertaken on Canje in 2021, which ExxonMobil and partners in the block continue to review, and after the recent highly positive drilling results on the nearby Stabroek block, we believe this to be another exciting opportunity in our portfolio.'

Original article link

Source: Eco (Atlantic) Oil & Gas





Bookmark and Share


A global information service for upstream oil and gas opportunities - divestitures, farmins and farmouts and licensing rounds.


Subscriber Only Deals

Current Deals

Current Upstream Deals: 305

Completed Deals

Completed Upstream Deals: 6280

Company Profiles

Current Company Profiles: 2823

Corporate Activity

Current Corporate Activity articles: 3887

Companies Looking

Current number of articles: 453

Company Sales

Current Company Sales articles:1533

Geostudies

Current Geostudies articles: 856

How to subscribe

energy-pedia Jobs

RSS Feed Widget
See all jobs...


energy-pedia Databank

The energy-pedia databank contains links to information on the world financial and energy markets, including share prices, oil and gas prices and the global stock exchanges. Read more...



energy-pedia Glossary

A list of commonly used terms in the oil and gas industry. Read more...

Subscribe

Subscribe to the FREE
energy-pedia Daily Newsletter
Subscribe

KL Publishing
Bayphase
OPC
Government of South Australia
Syntillica
energy365
Union Jack Oil 149
Borchwix
SLR Consulting logo
About energy-pedia

energy-pedia news is a FREE news service written and edited by E and P professionals for E and P professionals.

We don't just report the news, we give you the technical background as well, with additional information derived from our unique energy-pedia opportunities service.
Contact us

energy365 Ltd

238 High Street
London Colney
St Albans
UNITED KINGDOM

Tel: +44(0)1727 822675

Email: info@energy-pedia.com