Reabold Resources PLC (AIM:RBD) reported on its first quarter, a period it described as having “significant progress in evolving the portfolio”.
It concluded the sale of the firm’s interest in the Victory gas discovery in the West of Shetland to Shell, agreed in November for up to £32mln, and it was seen as a key milestone.
“The sale is an encouraging demonstration of our ability to monetise assets at a higher valuation, execute successfully with large oil companies and use the flexibility of our investment model to achieve a value-enhancing transaction,” chair Jeremy Edelman said in a statement.
Proceeds from the sale enabled Reabold to reinvest in the North Sea, picking up six licences which have since been advanced with the publishing of competent person's reports.
Onshore UK, at the West Newton project, the company noted progress as it secured planning for drilling and production, meanwhile, Reabold's partner in the project is exploring potential collaborations to reduce its working interest position.
The partners anticipate new drilling at West Newton by the fourth quarter of 2023.
Reabold also noted the post quarter-end acquisition of Simwell Resources, providing additional exploration opportunities.
The small-cap oil and gas investor reported a £300,000 gross loss for the period.
It ended the quarter with £5.5mln in cash, no debt, and net assets of £46.5mln.