Source - Alliance News

Ascent Resources PLC on Tuesday said it agreed to a strategic collaboration agreement with investment firm MBD Partners SA.

The European and Hispanic American project-focused oil and gas exploration and production company said the deal was agreed alongside a material strategic equity investment ‘at a significant premium’. Under the agreement, MBD receives the right to propose the appointment of a new nominated non-executive director.

MBD Partners has agreed to subscribe to £1.5 million in new equity through a direct subscription of 3.5 pence per Ascent Resources share. This is a 35% premium to its closing price of 2.6p on Monday.

Ascent Resources shares rose 15% to 3.05p each on Tuesday morning in London.

‘The company continues to pursue a growth strategy away from Slovenia and evaluate a number of opportunities consistent with the company’s strategy to grow in onshore oil and gas, oil services, mining and ESG Metals,’ Ascent Resources said.

Ascent Resources Chair James Parsons said: ‘This is a highly advantaged subscription despite difficult markets, which serves both to fund the business at a premium whilst also de-risking our near term inflection point with the expected Slovenian arbitration result. We are delighted to welcome MBD as a cornerstone shareholder and look forward to refining and delivering our strategy together.’

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