TomCo Energy PLC (LON:TOM) said it has now terminated the placing it announced earlier this week and confirmed changes to its joint venture agreement with Valkor.
The Greenfield Energy joint venture has still been established, with TomCo taking a 50% stake, and Valkor has agreed that it will assign to Greenfield the benefit of a licence to use MSAR Technology developed by Quadrise International Fuels PLC (LON:QFI).
TomCo will no longer be required to provide funding to Greenfield of up to US$1.5mln, as was previously envisaged, until such time as TomCo has such funds available.
Meanwhile, Valkor and TomCo will review and seek to agree budgets for the proposed upgrades to the Petroteq oil sands plant (POSP) at Asphalt Ridge, in Utah, and phasing of the associated tests
TomCo had around £360,000 in funds as at the end of June 18, 2020, and its board believes the existing funds will be sufficient through to the end of 2020, prior to agreeing any works under the joint venture with Valkor.
The company’s shares will now resume trading on London’s AIM market having been suspended on Wednesday.