7th Nov 2014 12:07
LONDON (Alliance News) - 3LegsResources PLC Friday said it intends to make an interim return of capital of about GBP15.9 million, subject to the board being satisfied with the company's solvency position, equivalent to 18.5 pence per share.
Following the return of capital, and in the absence of an alternative, the company intends to put itself into a members' voluntary liquidation as soon as possible and by March 31, 2015.
That would be followed by a final distribution to be made at the conclusion of the liquidation.
The capital return and the liquidation plans are subject to shareholder approval at an extraordinary general meeting scheduled for November 25.
The decision to return its remaining funds, net of windup costs, to shareholders and to place itself into solvent liquidation followed the company's decision to withdraw from its principal exploration project in Poland's Baltic Basin and to terminate its other exploration activities.
It has since sold its eastern Baltic Basin concessions to Stena AB. The company has also been refunded its share of excess cash calls due from the joint venture vehicle Lane Energy Poland, as planned.
3Legs said it is continuing to pursue a claim against ConocoPhillips for the return of its 30% share of a working capital surplus accumulated in the joint venture vehicle since September 2012.
The value of that claim is USD1.64 million net.
3Legs shares were down 0.7% at 18.25 pence on Friday.
By Samuel Agini; [email protected]; @samuelagini
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