logo-loader

UPDATE - Rose Petroleum shares soar as it completes milestone acquisition

Last updated: 20:53 21 Jan 2014 AEDT, First published: 21:53 21 Jan 2014 AEDT

oil_well350_52de53486fd93

--ADDS SHARE PRICE DETAILS--

Shares in Rose Petroleum (LON:ROSE) jumped more than 75% on Tuesday with the completion of a landmark deal which cements the refocused group’s transition out of mining.

Rose, formerly Vane Minerals, has acquired two oil and gas projects in Germany for €400,000.

It now owns 100% of the Konstanz and Biberach licences in south western Germany, both of which are found in the Molasse Basin.

Together they span more than 635,000 acres and have both shale gas and oil, as well as conventional hydrocarbons.

The acquisition heralds Rose as a new petroleum company, said chief executive Matthew Idiens.

“Fortunately, as the licences appear to have both conventional and unconventional targets, this will allow us to progress the conventional plays until the regulatory environment becomes clearer on unconventional plays,” he said in a statement.

“This is an exciting moment for the company and we look forward to updating our shareholders with progress."

Konstanz covers around 370,000 acres, and historic data from two oilfields and two deep wells give insight into the prospectivity of the area. There are four main targets: two oil shale plays, one shale gas play and tight gas in sandstones.

There is less available information on Biberach, which spans 266,000 acres, but the company believes it has similar targets as those found at Konstanz.

Under the terms of the acquisition 3Legs Resources (LON:3LEG), the seller, will retain a 2% overriding royalty interest, and there is also a separate 0.5% royalty held by the original finder of the assets.

On AIM, Rose shares gained 0.3p per share, or 75%, to trade at 0.7p each.

Rose Petroleum announces CPR results for Paradox basin in Utah

Matthew Idiens, chief executive officer of Rose Petroleum PLC (LON:ROSE) tells Proactive that the company has presented a new competent person's report (CPR) assessing its Paradox basin in Utah, United States. “We’ve put a lot of effort into the geological assessment and these were...

on 22/6/18