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Reabold Resources to acquire six North Sea licences from Corallian

Published: 02:46 04 May 2022 EDT

Oil rig
North Sea oil rig

Reabold Resources PLC (AIM:RBD)' 49.99%-owned associate Corallian Energy has received a takeover approach from what is described as a credible bidder.

Corallian’s board have indicated they consider the offer attractive and have started talks with the potential purchaser over a sale.

As part of the deal, Reabold will acquire six of Corallian’s exploration and appraisal licences for £250,000 but not the Victory gas field development.

Reabold said it will be the licence administrator for Victory but does not want to be the operator and will farm out that role following the Corallian sale.

The licences being acquired are primarily in the Moray Firth and East of Shetland regions and contain the Laxford gas field, the Scourie, Dunrobin and Unst prospects and the Oulton oil discovery.

Sachin Oza, Reabold’s co-chief executive, said: "This is potentially a very exciting transaction for Reabold.

“As part of the Corallian strategic review, which has reached the stage of a non-binding, conditional offer for Corallian based on its Victory asset, we have agreed to acquire six licences from Corallian.

Four of the licences, in particular, have significant prospective potential in addition to the de-risked contingent resources associated with Oulton, which we believe, can be progressed in a low-cost manner given, inter alia, the low spending commitments.”

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on 06/21/2022