Director Dealing and Warrant Exercise

RNS Number : 1469P

Silvermere Energy PLC

29 September 2011

 



29^th September 2011

Silvermere Energy plc

("Silvermere" or "the Company")

Director Dealing and Warrant Exercise

Director Dealing

The Company has agreed that £15,910 of fees due to Spinnaker Management Resources Limited ("SMRL"), a company owned and controlled by Andy Morrison, chief executive officer of Silvermere, for services provided to the Company by Mr Morrison prior to admission of the Company's shares to AIM on 31^st August 2011 will be settled in ordinary shares and warrants on the same terms as the placing effected by the Company at admission.

The Board has therefore allotted 63,640 ordinary shares of 0.1p each (at an effective issue price of 25p per share) and 63,640 warrants exercisable at 30p per share to SMRL.

Following the above issue of shares and warrants, Andy Morrison's total shareholding in the Company amounts to 131,560 ordinary shares, representing 0.76 per cent of the Company's issued share capital as enlarged by this share issue and the warrant exercises detailed below.

Warrant Exercise

The Company has received notices of exercise from T1ps Smaller Companies Growth Fund ("T1ps") of 300,000 2010 Warrants (as defined in the recent admission document) and from Hamlins LLC of 56,478 2010 Warrants, and the Board has allotted these shares. Following the allotment of these shares T1ps holds 3,068,676 ordinary shares being approximately 17.6 per cent. of the Company's enlarged share capital.  The new shares are subject to lock-in/orderly marketing agreements as indicated in the Company's recent admission document.

The Company has applied for admission of these ordinary shares to trading on AIM and admission is expected to become effective on 5^th October 2011.

Total Shares in Issue

Following the issue of these shares, the total number of ordinary shares in issue will be 17,400,868. Shareholders may use this number to calculate their total percentage holding in the Company.

-ENDS-

For further information please contact: Silvermere Energy plc Andy Morrison, Chief Executive	[phone]
Merchant Securities Limited (Nominated Adviser and Broker) Lindsay Mair/Virginia Bull Rivington Street Corporate Finance Limited Jon Levinson/Dru Edmonstone	+ 44(0)20 7628 2200  [phone]
Bishopgate Communications Nick Rome/Shabnam Bashir	[phone]

About Silvermere Energy Plc

The Company acquired its interest in the Mustang Asset on 30 August 2011.  This comprises a 33.33 per cent. working interest and 20.83 per cent. net entitlement interest in the Mustang Licence Area, an area within the southern half of the north west quarter and northern half of the south west quarter of the Block 818-L field as defined in State of Texas Oil and Gas Lease numbers 108873 and 108874. The Mustang Island 818-L field, located in Kleberg County waters of the Gulf of Mexico, is a field re-habilitation project targeting bypassed or only partially produced gas-condensate.

Early in 2011 the Hercules Offshore 205 jack-up rig was contracted to re-enter the I-1 Well on the Mustang Licence Area which was considered to be the most likely of the historic well sites to provide 14 optimum re-entry conditions. The I-1Well re-entry and side-tracking operation was completed in March 2011 leaving it ready to complete in sand horizons I-1 to I-6. Production and flow testing was carried out during June 2011. The well re-entry programme was led by Dominion as the operator. Gas and oil produced from the I-1Well is proposed to be connected to pipeline infrastructure and tied in via a subsea tree, constructed for the purpose and then transported to the Six Pigs gas facility.

Silvermere's strategy is to acquire a portfolio of US oil and gas licence interests onshore and in shallow offshore waters, characterised by relatively low risk and low cost with the potential for near term production.

Silvermere is quoted on the AIM Market of the London Stock Exchange plc (AIM: SLME) with its offices in London.

 

END

 

 

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