29th Jan 2019 10:49
LONDON (Alliance News) - Shares in Mayan Energy Ltd fell Tuesday as the firm said it is to focus on two assets and put a third up for sale.
The stock was 15% lower on Tuesday at a price of 0.12 pence apiece.
Following a strategic review begun last October, Mayan is to focus on the Austin field and the Zink Ranch asset in Texas. Forest Hills is to be classed as non-core, and Mayan will look to exit the field.
Within Austin, Mayan has upped its interest in the Morris 1 well to 100% from 60%, and likewise in all give Austin Chalk wells to 100% from 60%. It has also bought all of the Montsanko well.
All of this came at no extra cost, though the seller Smart Bit LLC will get royalties in future.
Mayan has also signed a deal which will see Iron Hawk Energy Group manage Zink Ranch, target 6 to 8 barrels of oil per day initially with "limited" capital requirements from Mayan.
The company has also raised GBP750,000, issuing shares at 0.12p.
"Following the departure of [former Chief Executive Eddie] Gonzalez in September, the board committed to a review of the company to rationalise Mayan's financial resources, prioritise investment in those assets which offer the most attractive returns on a risk/reward basis, re-commence production at the earliest opportunity, and to build a solid foundation from which to grow Mayan in 2019," said Chair Paolo Amoruso.
"To this end I believe we have made significant progress."
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