Petrolinvest Steps Up Shale Investment

Petrolinvest SA has decided to increase its participation in entities involved in hydrocarbon activities in Poland.

Petrolinvest has increased it holding in Silurian Hallwood Ltd to 49% and its holdings in Silurian Sp. z o.o, to 90%, by purchasing shares from a financial investor.

The shares will be acquired through the issuances of shares in Petrolinvest.  The number of shares to be exchanged is dependant on the valuation of companies at the stage of the private placement and IPO of Silurian Hallwood, as well as the share price of Petrolinvest on the Warsaw Stock Exchange.

Silurian Hallwood is planning to raise USD 20-25 million via a private placement offering, to be followed by an additional fund raising of $75 million through a listing on the London's Alternative Investment Market (AIM) by the end of 2011.

Silurian Hallwood currently possesses four oil and gas (including shale gas) exploration licenses, situated within a the Baltic Basin that the company states, is presumably rich with shale gas and shale oil, as well as conventional gas and oil.

Source: Petrolinvest