News blog

Solo Oil

• BY: Andrew Hore |
• POSTED: 24/10/2012 |

Shares in oil and gas explorer Solo Oil have jumped on the back of positive news about the Ontario basin assets where Solo has a stake.

At 0.59p a share, up 0.075p, Solo is valued at £19.3m.

The rise was due to the announcement of its TSX-listed joint venture partner Reef Resources Ltd. This showed that gross P2 reserves have been increased by 85% to 348,700 barrels of oil equivalent, with gas contributing around 5% of the figure. The NPV at a 10% discount rate is $7.86m.

Solo has agreed to acquire a 38.1% working interest in the Ontario properties.

Solo recently terminated its three year, £10m equity line facility with Dutchess Opportunity Cayman Fund. This was meant to help develop the Ruvuma PSA assets in Tanzania, where Solo has a 25% stake. However, operator Aminex and Solo are seeking a partner to fund this operation.

Download the latest AIM Journal from http://www.hubinvest.com/AIMPDFOctober2012_37.pdf