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Oil & Gas

i3 Energy notes US$500,000 loan conversion

i3 Energy shares advanced earlier this week after landing significant new acreage for the Liberator oil field

i3 Energy Plc (LON:I3E) told investors that James Caird Asset Management has exercised its option to convert US$500,000 of a loan into equity.

Some 925,926 new i3 Energy shares have been issued to the investment group.

The company noted that the value outstanding on the loan is now US$1mln.

WATCH: i3 Energy sees "significant" increase in resources at Liberator oil field

On Wednesday, i3 Energy shares soared higher on news it has landed an important acreage package in the vicinity of the group’s flagship Liberator field in the North Sea.

The acreage was awarded by the UK authorities via the 30th Offshore Licensing Round. It represents a material extension of the Liberator field, to be referred to in the future as Liberator West.

"The award of our sole targeted application Block 13/23c ensures i3 has 100% ownership of the full, highly attractive Liberator project,” said Neill Carson, I3 chief executive. “This provides significant additional growth potential and increases our existing full development potential resource base significantly to 80 MMBO.

“We're excited that this additional potential, within our core area, is proximal to existing infrastructure whilst also being of a scale that supports stand-alone solutions.

Carson added: “It will provide relatively low-risk, low-cost drilling opportunities to develop additional barrels in this highly productive and well-established trend."

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