Egdon Confirms Advanced Discussions for Alkane’s UK Shale Assets

Egdon Resources confirmed it is in advanced discussions with Alkane Energy for a potential transaction of Alkane’s shale assets in the United Kingdom.

‘Egdon Resources plc notes the press commentary on Saturday 10 May and confirms it is in advanced discussions with Alkane Energy on a potential transaction involving an acquisition of Alkane’s onshore shale assets for 40‚000‚000 ordinary shares in Egdon with an accompanying fundraising of £7 million at 20 pence per share for working capital purposes,’ reads the note released on Monday. 

The company expects to successfully implement a £6.4 million placing, while also promoting an open offer of £600,000.

‘The potential transaction and fundraising remain subject to finalisation.  The potential transaction is expected to be conditional on approval of the fundraising by Egdon shareholders.  An announcement will be made in due course,’ explains the press release.