3Legs Divests in Germany to Focus on Polish Shale Exploration

Unconventional hydrocarbon company 3Legs Resources announced the sale of 100% interest in its two German concessions to Rose Petroleum, adding that it remains committed to exploration activities in Poland. 

‘This transaction is consistent with our strategy, announced last year, of limiting our geographical scope to Poland in order to maximise our focus on our Baltic Basin concessions,’ reads a note released on Tuesday.

3Legs Resources said that preliminary data on Lublewo LEP-1 vertical well confirmed expectations. It also completed flow testing on the Strzeszewo LE-1 vertical well two weeks ago. 

As a result of the deal, Rose Petroleum’s shares jumped more than 75% on Tuesday. 3Legs Resources, which will receive a 2% royalty and a contribution of €400,000 towards back costs, had its “buy” rating reaffirmed by equities research analysts at Northland Capital Partners.