San Leon, an oil and gas exploration enterprise led by Oisin Fanning, has recently had its London Stock Exchange’s AIM market listing formally revoked following a half a year suspension. The company has been deficient in submitting several necessary documents, including 2022 accounts, interim results from the initial half of 2023, and reports concerning an investment in Energy Link Infrastructure, a Maltese firm. The latter is busy constructing a novel pipeline aimed at making the OML 18 prospect in Nigeria accessible, a venture that San Leon also partially owns.
Concentrated efforts were put into securing funds for this project, leading to the delay in the paperwork submission. Regrettably, not meeting these statutory obligations led to the cancellation of the company’s listing.
Despite the disappointments, Fanning promised shareholders some hopeful news, mainly regarding the funding needed to accomplish such a crucial deal. The company is close to securing a significant new investment, partly from a €500 million German government bond made available for Fanning’s fundraising efforts by an anonymous donor, and partly by striving to release some funds through its partially owned joint venture, Midwestern Leon Petroleum Limited.
The firm indicated to its shareholders that there had been substantial progress in discussions on both deals, adding it anticipated receiving funding for both within this month. Once the firm secures these funds, it will be able to settle its debts to all existing creditors in full and finalise the corporate restructuring necessary for fully exploiting the OML prospect. It also asserted to shareholders that though the company’s listing was cancelled, they would still keep them updated on its progress.
The company has voiced its intention to launch a listing either on the UK or an international Stock Exchange during the latter part of this year. The aim being, to reinstate liquidity for its stakeholders. In the announcement, Fanning conveyed his awareness that the shareholders may be dissatisfied with the recent event’s cancellation. However, he reassured that this will not impact the ongoing refinancing measures. In some ways, it could potentially streamline certain operations. Considering the complicated journey San Leon has embarked on so far, this will likely be reassuring news to its shareholders.