12th Feb 2014 16:52
LONDON (Alliance News) - Polo Resources Ltd Wednesday said it expects a "significant" return as a result of a share buyback by Signet Petroleum Ltd, in which it holds a 42% stake.
The buyback was possible because Signet has sold its interests in block 2913A/2914B in Namibia to a "major international oil company" in a "confidential" transaction.
In a statement, AIM-listed Polo Resources said news of the buyback bodes well for returns from any future sales of Signet's licences.
Polo said it will provide more details when Signet makes them available.
According to Polo, the rest of Signet's portfolio includes an 80% operated interest in the Mnazi Bay North licence offshore Tanzania, a 90% operated interest in Block 03 offshore Benin, an 87.5% operated interest in Block C in Lake Tanganyika Burundi, and a 10% interest, carried until the first exploration well, in Block SL-7A-10 offshore Sierra Leone in the Equatorial Atlantic Margin.
Polo Resources shares Wednesday closed at 21 pence, up 0.875 pence, or 4.4%.
By Samuel Agini; [email protected]; @samuelagini
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