Sale of Subsidiary
19 9월 2003 - 4:03PM
UK Regulatory
RNS Number:9484P
Westmount Energy Limited
19 September 2003
19 September 2003
PRESS RELEASE
WESTMOUNT ENERGY LIMITED
SALE OF WHOLLY-OWNED SUBSIDIARY
WESTMOUNT RESOURCES LIMITED
The Board of Westmount Energy Limited ("Westmount") announces that it has sold
its Jersey based wholly-owned subsidiary company Westmount Resources Limited
("Westmount Resources") to the AIM listed Sterling Energy plc ("Sterling").
The assets of Westmount Resources consist of 20 million fully paid shares of
Fusion Oil & Gas plc ("Fusion plc") representing 20.4% of the Fusion plc shares
in issue and 500,000 partly paid shares of Fusion Oil & Gas NL ("Fusion NL"),
which are convertible into Fusion plc shares.
Westmount has agreed to accept 71,375,000 fully paid Sterling shares in
exchange, which it has undertaken to retain for at least a year from admission.
Derek Williams, Chairman of Westmount stated:
"We believe this deal represents excellent value for Westmount and reflects our
continuing confidence in the judgement of the Sterling board. Our decision to
sell follows mounting disappointment in the performance of our investment in
Fusion since the flotation, and our strong belief in the merits of combining
Sterling's strengths with Fusion's exploration portfolio."
Sterling is building an excellent cash flow from its North American operations
and has an experienced management team with a track record in the oil industry.
As a result of the transaction Westmount will own 17% of Sterling and become
the second largest shareholder after the Sterling management, which controls
approximately 18% of the company.
- Ends -
For further information, contact:
Derek G. Williams - Chairman, Westmount Energy Limited
Tel: 020 7351 2925
Andrew Edwards - Oriel Securities Limited
Tel: 020 7710 7614
Paul Downes/ - Merlin Financial & Corporate Public Relations
Tom Randell Tel: 020 7606 1244
Note: Westmount Energy Limited is a Jersey, Channel Islands, based independent
oil and gas investment company with its shares traded on AIM of which there are
presently 13,701,530 in issue, held by some 1,800 shareholders. There are also
outstanding share options over 750,000 shares exercisable at 33.5p per share by
31 December 2004.
This information is provided by RNS
The company news service from the London Stock Exchange
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