17/09/2012 The London Stock Exchange welcomes Eland Oil & Gas PLC to AIM
The London Stock Exchange is pleased to welcome Eland Oil & Gas PLC (“Eland”), to AIM. Eland joined AIM on 03 September 2012 (symbol ELA).
Eland, an oil & gas exploration and production company operating in West Africa with an initial focus on Nigeria, has a management team with long and successful track records in acquiring and developing oil in Nigeria. Eland’s founders, Les Blair (CEO) and George Maxwell (CFO), previously held senior management positions with Addax Petroleum playing a significant role in developing Addax into a highly successful independent oil company focused in Nigeria which was sold to Sinopec in 2009 for circa $10 Billion (inc debt).
In conjunction with joining AIM, Eland completed the purchase of a 45% interest in licence OML 40 for US$154 million and the placing of new ordinary shares raising £118 million gross. At Admission, Eland had a market capitalisation of approximately £134.9 million.
OML 40, located onshore within the Niger Delta, has both production and exploration potential. Eland will apply its funds raised initially to re-commission existing infrastructure and restart production with a target of 2,500 bopd within six months and then to fully develop the licence in full with a target of 50,000 bopd within four years
Les Blair, CEO of Eland Oil & Gas, commented:
“I am extremely grateful to the shareholders of the Company who have supported us to complete this milestone transaction. The fundraising of £118 million is the largest on an AIM IPO for over three years and highlights the exciting prospects for OML 40 and Nigeria as a whole.”
Canaccord Genuity is acting as NOMAD and broker to Eland and Citigate Dewe Rogerson as financial communications advisors.