United Oil & Gas PLC (AIM:UOG) has completed the sale of its Italian business to Prospex Energy PLC for €2.16mln.
UOG Italia holds a 20% non-operated interest in the Podere Gallina licence, which contains the Selva gas development project.
United added that following the sale it will no longer be liable for its share of the Selva gas development capital expenditure of approximately €800,000, while a working capital adjustment made the net total €2.19mln.
Brian Larkin, UOG’s chief executive, said: “The proceeds of this transaction along with other divestments strengthen our balance sheet to support our growth strategy.
“We have re-focused our portfolio on our core areas which provides us with a platform for organic growth and also a base from which we can evaluate further growth opportunities in 2022 and beyond.”