Reabold Resources PLC (AIM:RBD) is set for another cash boost, with Shell giving the AIM-quoted company notice of its final payment under the Victory asset sale.
The final payment is for £4.4 million, which follows the £8.3 million of sale proceeds paid by Shell to date.
It was triggered by the North Sea Transition Authority granting consent for development and production at the Victory field.
Reabold said it plans to use the cash proceeds to further progress and develop its portfolio of exploration, appraisal, and development projects. A distribution of cash to shareholders is also on the cards.
Operationally, the company said it now aimed to repeat its success with the Victory assets – which saw the company add value and then monetize through its deal with Shell.
“We are pleased to see development approval granted for the Victory gas field, which triggers the final tranche of the payment from Shell to Corallian's shareholders,” co-chief executive Stephen Williams said in a statement.
“This represents a significant moment in the delivery of the Reabold strategy to identify, fund and monetise underappreciated, but strategically important assets.
“We remain focussed on progressing other key projects in the Reabold portfolio in 2024 and realising further value to reward shareholders for their ongoing support of the company."