TIDMAST
RNS Number : 1868L
Ascent Resources PLC
09 September 2021
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION NOT FOR RELEASE,
PUBLICATION OR DISTRIBUTION IN, INTO OR FROM ANY JURISDICTION WHERE
TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR
REGULATIONS OF SUCH JURISDICTION
9 September 2021
Ascent Resources plc
("Ascent" or "the Company")
Interim results for the period ended 30 June 2021
Ascent Resources plc (LON:AST), the AIM quoted onshore
Caribbean, Hispanic American and European energy and natural
resources focussed company ("Company") is pleased to report its
interim results for the six months ended 30 June 2021.
Highlights:
-- Launch of ESG Metals Strategy as a new target sector within
its natural resource focussed business with maiden deal expected in
H2 2021.
-- Signing of a non-binding head of terms with Enyo Law LLP, a
specialist arbitration and litigation legal firm, to advance a
fully funded non-recourse damages-based agreement for the
arbitration proceedings against the Republic of Slovenia.
-- Raised GBP1m before expenses by way of an oversubscribed
subscription and placement with existing and new investors.
Enquiries:
Ascent Resources plc Via Vigo Consulting
Andrew Dennan, CEO
WH Ireland, Nominated Adviser
& Broker
James Joyce / Sarah Mather 0207 220 1666
Novum Securities, Joint Broker
John Belliss 0207 399 9400
Chairman and CEO's statement
Despite the continuing global pandemic, Ascent has advanced
across multiple fronts following the restructuring of its Board,
strategy, and portfolio last year. The business's new strategic
platform is now taking shape, with the opportunities that
brings.
First, the Company has made a significant step forward in
securing funding for its international arbitration proceedings
against the Republic of Slovenia with the signature of non-binding
heads of terms with Enyo Law LLP. These heads define the terms
under which the specialist arbitration and litigation legal firm
shall represent the Company on a fully contingent basis through a
damages-based agreement for the pursuit of the claim in arbitration
in relation to breaches of relevant investment treaties arising out
of and in connection with the Notice of Dispute sent on 23 July
2020. The Company is currently negotiating final binding
documentation for this funding.
Secondly, the Company broadened its strategy to include the ESG
Metals asset class and is now in the process of originating and
negotiating its maiden transaction. The Directors believe this is a
new exciting and burgeoning target sector to grow the Company.
Slovenia
As announced in March, the Company is advancing towards
initiating international arbitration proceedings against the
Republic of Slovenia under the Energy Charter Treaty and
UK-Slovenia Bilateral Investment Treaty. In June, the Company
announced that it had signed a non-binding, heads of terms with
Enyo Law LLP, a specialist arbitration and litigation legal firm
(the "Firm"). This agreement intends to engage the Firm to pursue
the Company's claims on a success-only fee arrangement. Upon
completion of definitive documentation, the Firm will only be paid
out of the proceeds of the arbitration in the event of a successful
damages award or execution of a binding settlement agreement if
achieved sooner. This non-equity dilutive, non-recourse and full
funding proposal is the preferred solution from the Company's
perspective, notwithstanding that the Company has other alternative
offers also under discussion.
Operations at the Petišovci project continue to produce gas ,
albeit at lower levels as a result of the field performance decline
and current inability to re-stimulate the producing PG-10 and
PG-11A wells. Total production f or the six months to 30 June 2021
was 751.14 thousand cubic metres of gas and 33,512 litres of
condensate. Gas sales continue with production being sold to local
industrial buyers. The region is currently experiencing very high
gas prices with the average Day Ahead Market gas price being Eur
51.0 / MWh as at 1 September, 2021. The JV expects to continue
producing, thereby taking advantage of strong current prices.
ESG Metals Strategy
As announced in February, the Company has broadened its natural
resources mandate to include a focus on ESG Metals, which it sees
as a new and burgeoning target sector to grow the Company. ESG
Metals includes secondary mining and re-treatment and recovery
opportunities which the Company sees as being consistent with
Environmental, Social and Governance ("ESG") principles. Typically,
these involve the reclassification, through highly efficient
recovery techniques, of stockpiled surface mining waste (previously
viewed as a liability for mining companies) as a valuable asset for
reprocessing and commercial sale to industry, governments and
metals traders.
The Company sees waste management, remediation and restoration
of land impacted by historic and ongoing mining activities as a
critical element in the global ESG agenda and integral to the
transition to a low carbon economy. The Company is looking at a
number of potential projects in Hispanic and Latin Americas, the
Caribbean, and South Africa, as well as Europe. In particular, the
Company believes there are good opportunities in gold, silver,
platinum, base metals and ferrochrome, where the economics are
especially attractive and the opportunity set has the ability of
delivering lowest cost quartile sustainable metal production from
legacy mining tailings, with low geological risk. Such
opportunities have the potential to provide strong cash returns
without exploration risk and only require modest upfront capital
outlay.
Cuba Market Entry
The Company continues to retain optionality to enter the Cuban
Oil and Gas industry, once COVID 19 restrictions are lifted and
possibly after the outcome of recent civil unrest is clarified. As
announced in August last year, the Company transmitted the draft
documentation in relation to its operating credentials to Union
Cuba-Petroleo ("CUPET"), Cuba's national oil company, and the
Oficina Nacional de Recursos Minerales ("ORNM") and since then has
received positive initial feedback towards accreditation as an
onshore operator subject to funding.
Corporate
During the period in review the Company raised GBP1 million at
an issue price of 10.1 pence per share by way of an oversubscribed
subscription and placing of new shares to institutional investors
and existing shareholders to fund the Company's general working
capital and ESG Metals business development activity.
Outlook
The team continue to work diligently across our key corporate
priorities which include funding the Slovenia ECT claim and
delivering a maiden ESG metals transaction. We look forward to
delivering success for our shareholders at Ascent Resources plc and
to re-engaging face to face with them now that COVID restrictions
in Europe have eased.
James Parsons Andrew Dennan
Executive Chairman Chief Executive Officer
8 September 2021 8 September 2021
CEO's report
Financial performance
Revenue for the first six month of 2021 was GBPnil, as per the
prior period. Closing cash at 30 June 2021 was GBP766,000 compared
to GBP304,000 in the prior period.
During the period the Company raised GBP1m before costs in an
equity placing in February 2021. There was a cash outflow from
operations of GBP824,000 and an inflow of GBP1,475,000 from
financing, resulting in net cash flow of GBP651,000.
Operational performance
Production KPI's Jan 2021 Feb 2021 Mar 2021 Apr 2021 May 2021 Jun 2021
--------------------------- --------- --------- ---------- --------- --------- ---------
Total gas (k scm) 131.82 136.17 155.10 143.08 99.17 85.80
--------------------------- --------- --------- ---------- --------- --------- ---------
Total gas (MMcf) 4.66 4.81 5.48 5.05 3.50 3.03
--------------------------- --------- --------- ---------- --------- --------- ---------
Average daily gas
(k scm) 4.25 4.86 5.00 4.77 3.20 2.86
--------------------------- --------- --------- ---------- --------- --------- ---------
Average daily gas
(Mcf) 150.17 171.74 176.69 168.43 112.97 101.00
--------------------------- --------- --------- ---------- --------- --------- ---------
Total condensate (liters) 2,808.00 2,354.00 17,496.00 5,346.00 3,834.00 1,674.00
--------------------------- --------- --------- ---------- --------- --------- ---------
CGR (liters per 1000
scm gas) 21.30 17.29 112.80 37.36 38.66 19.51
--------------------------- --------- --------- ---------- --------- --------- ---------
BOE - gas 802.39 828.87 944.09 870.93 603.65 522.26
--------------------------- --------- --------- ---------- --------- --------- ---------
BOE - condensate 17.63 14.78 109.87 33.57 24.08 10.51
--------------------------- --------- --------- ---------- --------- --------- ---------
Total BOE 820.02 843.65 1053.97 904.50 627.73 532.78
--------------------------- --------- --------- ---------- --------- --------- ---------
Total production for the six months to 30 June 2021 was 751.14
thousand cubic metres of gas and 33,512 litres of condensate.
Gas sales to INA remain suspended as wellhead pressure is below
the export pipeline pressure. The sales contract remains valid and
should the Company increase production gas sales may be able to be
resumed. The Company produced gas in the year to date which was
sold locally to an industrial buyer through a low-pressure
pipeline, however the revenue from this is less than the fixed
costs of the field and pursuant to a deal agreed in Q4 2019 the
Company is not currently receiving any revenue from this declining
production, with the proceeds being retained by the operating
service provider to pay towards their fixed costs.
Consolidated Income Statement
for the Period ended 30 June 2021
Period ended Period ended
30 June 30 June
2021 2020
Notes GBP '000s GBP '000s
Revenue - -
Cost of sales (25) (59)
Depreciation of oil & gas assets (194) (230)
---------------- ----------------
Gross profit (219) (289)
Administrative expenses (826) (945)
---------------- ----------------
Loss from operating activities (1,045) (1,234)
Finance income - -
Finance cost (10) (9)
---------------- ----------------
Net finance costs (10) (9)
Loss before taxation 2 (1,055) (1,243)
Income tax expense - -
---------------- ----------------
Loss for the period after tax (1,055) (1,243)
Loss for the period attributable to
equity shareholders (1,055) (1,243)
Earnings per share
Basic & fully diluted loss per share
(GBP) 4 (0.01) (0.03)
Consolidated Statement of Comprehensive Income
for the Period ended 30 June 2021
Period ended Period ended
30 June 30 June
2021 2020
GBP '000s GBP '000s
Loss for the period (1,055) (1,243)
Other comprehensive income
Foreign currency translation differences
for foreign operations (776) 1,835
Total comprehensive gain / (loss) for the
period (1,831) 592
Consolidated Statement of Changes in Equity
for the Period ended 30 June 2021
Share Share Merger Equity Share Translation Retained Total
capital premium Reserve reserve based reserve earnings
payment
reserve
GBP '000s GBP '000s GBP '000s GBP '000s GBP '000s GBP '000s GBP '000s GBP '000s
Balance at 1
January 2020 7,604 72,330 570 - 1,873 (300) (41,964) 40,113
Comprehensive -
income
Loss for the
period - - - - - - (1,243) (1,243)
Other
comprehensive
income
Currency
translation
differences - - - - - 1,835 - 1,835
Total
comprehensive
income - - - - - 1,835 (1,243) 592
Transactions
with owners
Issue of
shares during
the
year net of
costs 113 678 - - - - - 791
Issue of
shares on
acquisition 30 173 - - - - - 203
Share-based
payments and
expiry of
options - - - - 206 - - 206
Balance at 30
June 2020 7,747 73,181 570 - 2,079 1,535 (43,207) 41,905
--------------- ------------ ------------- ---------- ---------- ---------- ------------ ---------- ----------
Balance at 1
January 2020 7,604 72,330 570 - 1,873 (300) (41,964) 40,113
Comprehensive -
income
Loss for the
period - - - - - - (2,831) (2,831)
Other
comprehensive
income
Currency
translation
differences - - - - - 1,327 - 1,327
Total
comprehensive
income - - - - - 1,327 (2,831) (1,504)
Transactions
with owners
Issue of
ordinary
shares 324 1,713 - - - - - 2,037
Costs related
to share
issues - (180) - - - - - (180)
Equity value
of
convertible
loan note - - - 73 - - - 73
Share based
payments - - - - 256 - 200 456
Balance at 31
December 2020 7,928 73,863 570 73 2,129 1,027 (44,595) 40,995
--------------- ------------ ------------- ---------- ---------- ---------- ------------ ---------- ----------
Balance at 1
January 2021 7,928 73,863 570 73 2,129 1,027 (44,595) 40,995
Comprehensive -
income
Loss for the
period - - - - - - (1,055) (1,055)
Other
comprehensive
income
Currency
translation
differences - - - - - (776) - (776)
Total
comprehensive
income - - - - - (776) (1,055) (1,831)
Transactions -
with owners
Issue of
shares during
the
year net of
costs 70 1,176 - - - - - 1,246
Share-based
payments - - - - 16 - - 16
Balance at 30
June 2021 7,998 75,039 570 73 2,145 251 (45,650) 40,424
--------------- ------------ ------------- ---------- ---------- ---------- ------------ ---------- ----------
Consolidated Statement of Financial Position
As at 30 June 2021
30 June 31 December
2021 2020
Assets Notes GBP '000s GBP '000s
Non-current assets
Property, plant and equipment 5 21,865 22,783
Exploration and evaluation costs 5 18,604 18,5763
Goodwill 653 653
Prepaid abandonment fund 300 300
-------------- --------------
Total non-current assets 41,422 42,489
Current assets
Inventory - -
Trade and other receivables 6 119 66
Cash and cash equivalents 766 115
Restricted cash - -
-------------- --------------
Total current assets 885 181
Total assets 42,307 42,670
============== ==============
Equity and liabilities
Attributable to the equity holders
of the Parent Company
Share capital 10 7,998 7,928
Share premium account 75,039 73,863
Merger reserve 570 570
Equity reserve 73 73
Share-based payment reserve 2,145 2,129
Translation reserves 251 1,027
Retained earnings (45,650) (44,595)
-------------- --------------
Total equity attributable to the shareholders 40,424 40,995
Total equity 40,424 40,995
-------------- --------------
Non-current liabilities
Borrowings 8 505 197
Provisions 317 328
Total non-current liabilities 822 525
Current liabilities
Borrowings 8 5 5
Contingent consideration due on acquisitions 9 450 450
Trade and other payables 7 606 695
Total current liabilities 1,061 1,150
Total liabilities 1,883 1,675
-------------- --------------
Total equity and liabilities 42,307 42,670
============== ==============
Consolidated Statement of Cash Flows
for the six months ended 30 June 2021
Period ended Period ended
30 June 30 June
2021 2020
GBP '000s GBP '000s
Cash flows from operations
Loss after tax for the period (1,055) (1,243)
Depreciation 194 231
Change in receivables 53 170
Change in payables (89) 80
Increase in share-based payments 38 206
Exchange differences 25 11
Finance cost 10 9
Net cash used in operating activities (824) (536)
-------------- -----------------
Cash flows from investing activities
Payments for fixed assets - (3)
Payments for investing in exploration - -
Net cash used in investing activities - (3)
-------------- -----------------
Cash flows from financing activities
Interest paid and other finance fees - -
Loans repaid (125) (12)
Proceeds from borrowings 375
Proceeds from issue of shares 1,265 848
Share issue costs (40) (70)
Net cash generated from financing
activities 1,475 736
-------------- -----------------
Net increase in cash and cash equivalents
for the year 651 227
Effect of foreign exchange differences - -
Cash and cash equivalents at beginning
of the year 115 77
Cash and cash equivalents at end of
the year 766 304
============== =================
Notes to the Interim Financial Statements
For the six months ended 30 June 2021
1. Accounting Policies
Reporting entity
Ascent Resources plc ('the Company') is a company domiciled in
England. The address of the Company's registered office is 5 New
Street Square, London EC4A 3TW. The unaudited consolidated interim
financial statements of the Company as at 30 June 2021 comprise the
Company and its subsidiaries (together referred to as the
'Group').
Basis of preparation
The interim financial statements have been prepared using
measurement and recognition criteria based on International
Financial Reporting Standards (IFRS and IFRIC interpretations)
issued by the International Accounting Standards Board (IASB) as
adopted for use in the EU. The interim financial information has
been prepared using the accounting policies which were applied in
the Group's statutory financial statements for the year ended 31
December 2020.
New Standards adopted as at 1 January 2021
Accounting pronouncements which have become effective from 1
January 2021 are:
-- IFRS 3 Business Combinations - definition of a business
-- IAS 1 and IAS 8 - definition of material
-- IFRS 9, IFRS 7 and IAS 39 - interest rate benchmark
-- IFRS 7 - Insurance contracts
These accounting pronouncements do not have a significant impact
on the Group's financial results or position.
All amounts have been prepared in British pounds, this being the
Group's presentational currency.
The interim financial information for the six months to 30 June
2021 and 30 June 2020 is unaudited and does not constitute
statutory financial information. The comparatives for the full year
ended 31 December 2020 are not the Group's full statutory accounts
for that year. The information given for the year ended 31 December
2020 does not constitute statutory financial statements as defined
by Section 435 of the Companies Act. The statutory accounts for the
year ended 31 December 2019 have been filed with the Registrar and
are available on the Company's web site www.ascentresources.co.uk .
The auditors' report on those accounts was unqualified. It did not
contain a statement under Section 498(2)-(3) of the Companies Act
2006.
Going Concern
The Financial Statements of the Group are prepared on a going
concern basis.
COVID-19 has had limited direct impact on Ascent's assets in
Slovenia but there may be delays in obtaining the necessary
governmental approvals and processes. Production operations in
Slovenia have been unaffected to date.
The forecasts are sensitive to the timing and cash flows
associated with the continuing situation in Slovenia, and
discretionary spend incurred with executing on the ESG Metals
Strategy through acquisition and advancing the Cuban initiative,
including deferred consideration that would become payable if the
Company elects to enter a PSC for Block 9b. As such, the Company
will need to raise new capital within the forecast period to fund
such discretionary spend.
Based on historical and recent support from new and existing
investors the Board believes that such funding, if and when
required, could be obtained through new debt or equity
issuances.
However, there can be no guarantee over the outcome of these
options and as a consequence there is a material uncertainty of the
Group's ability to raise the necessary finance, which may cast
doubt on the Group's ability to operate as a going concern.
Further, the Group may be unable to realise its assets and
discharge its liabilities in the normal course of business.
Principal Risks and Uncertainties:
The principal risks and uncertainties affecting the business
activities of the Group remain those detailed on pages 11-12 of the
Annual Review 2020, a copy of which is available on the Company's
website at www.ascentresources.co.uk.
2. Operating loss is stated after charging
Period ended Period ended
30 June 30 June
2021 2020
GBP '000s GBP '000s
Employee costs 475 241
Share based payment charge 16 206
Included within Admin Expenses
Audit Fees 40 35
Fees payable to the company's auditor - -
other services
------------- -------------
40 35
3. Earnings per share
Period ended Period ended
30 June 30 June
2021 2020
GBP '000s GBP '000s
Result for the period
Total loss for the period attributable
to equity shareholders (1,055) (1,243)
Weighted average number of ordinary Number Number
shares
For basic earnings per share 106,483,897 42,776,190
Earnings per share (GBP) (0.01) (0.03)
4. Property, plant & equipment and Exploration and Evaluation assets
Computer Developed Total Property Exploration
Equipment Oil & Gas Plant & & evaluation
Assets Equipment
Cost GBP000s GBP000s GBP000s GBP000s
At 1 January 2020 6 23,483 23,489 18,576
Additions 4 - - 653
Effect of exchange rate movements - 1,592 1,592 216
At 30 June 2020 10 25,075 25,085 19,445
----------- ----------- --------------- --------------
At 1 January 2020 6 23,483 23,489 18,576
Additions - 3 3 -
Effect of exchange rate movements - 1,111 1,111 177
At 31 December 2020 6 24,494 24,600 18,753
----------- ----------- --------------- --------------
At 1 January 2020 6 24,494 24,600 18,753
Additions - - - -
Effect of exchange rate movements - (624) (624) (149)
At 30 June 2021 6 23,870 23,876 18,604
----------- ----------- --------------- --------------
Depreciation
At 1 January 2020 (6) (1,414) (1,420) -
Charge for the year (1) (231) (232) -
Effect of exchange rate movements - 55 55 -
At 30 June 2020 (7) (1,618), (1,625) -
----------- ----------- --------------- --------------
At 1 January 2020 (6) (1,414) (1,420) -
Charge for the year - (397) (397) -
Effect of exchange rate movements - - - -
At 31 December 2020 (6) (1,811) (1,817) -
----------- ----------- --------------- --------------
At 1 January 2021 (6) (1,811) (1,817) -
Charge for the year - (194) (194) -
Effect of exchange rate movements - - - -
At 30 June 2021 (6) (2,005) (2,011) -
----------- ----------- --------------- --------------
Carrying value
At 30 June 2021 - 21,865 21,865 18,604
----------- ----------- --------------- --------------
At 31 December 2020 - 22,973 22,873 18,753
----------- ----------- --------------- --------------
At 30 June 2020 4 23,457 23,460 19,445
----------- ----------- --------------- --------------
5. Trade & other receivables
30 June 31 December
2021 2020
GBP '000s GBP '000s
Trade receivables - -
VAT recoverable 53 49
Prepaid abandonment liability 300 300
Prepayments & accrued income 9 17
362 366
========== ============
Less non-current portion (300) (300)
---------- ------------
Current portion 62 66
6. Trade & other payables
30 June 31 December
2021 2020
GBP '000s GBP '000s
Trade payables 538 573
Tax and social security payable 68 56
Other payables - -
Accruals and deferred income 66 66
606 695
========== ============
7. Borrowings
30 June 31 December
2021 2020
Group GBP '000s GBP '000s
Non-current
Convertible loan notes 505 197
55 197
---------- ------------
30 June 31 December
Group 2021 2019
Curren t GBP '000s GBP '000s
Convertible loan notes 5 5
Borrowings - -
Liability at the end of the period 5 5
---------- ------------
The non-current borrowings relate to the loan arrangement with
Riverfort Global opportunities that was refinanced in February
2020. The outstanding loan of GBP375,020 as at February 2020 was
re-negotiated to a two-year coupon free bullet with conversion
rights for the lender at 7.5 pence per share. No conversion can
occur until the share price exceeds 10 pence per share for five
consecutive days. The Group made convertible loan note repayments
in the year of GBP105,000 to Riverfort Global opportunities,
resulting in an ending convertible loan note balance of GBP270,000,
comprising GBP197,000 recognised as the debt component and a
further GBP73,000 recognised in Equity Reserve.
The current borrowings relate to the loan facility arrangement
with Align Research. The outstanding loan of GBP307,500, of which
GBP57,500 was received subsequent to the period end.
8. Contingent consideration due on acquisitions
30 June 31 December
2021 2020
Group GBP '000s GBP '000s
Non-current
Ascent Hispanic Resources UK Limited 450 450
450 450
---------- ------------
The fair value of contingent consideration was based on the
present value of cash flows and the market value of the shares to
be issued.
9. Share Capital
30 June 31 December
2021 2020
GBP '000s GBP '000s
Authorised
2,000,000,000 ordinary shares of 0.5p
each 10,000 10,000
Allotted, called up and fully paid
3,019,648,452 deferred shares of 0.195p
each 5,888 5,888
1,737,110,763 deferred shares of 0.09p
each 1,563 1,563
109,376,804 ordinary shares of 0.5p
each (2020: 95,283,281 ordinary shares
of 0.2p each) 547 477
7,998 7,928
Reconciliation of share capital movement Ordinary shares Ordinary shares No.
No.
Opening 95,283,281 3,019,648,452
Share consolidation - (2,989,451,968)
Issue of Trameta consideration shares 91,167
Issue of shares during the year 14,093,523 64,995,630
Closing 109,376,804 95,283,281
================ ====================
The deferred shares have no voting rights and are not eligible
for dividends.
Shares issued during the year
Issuance of equity throughout the year:
-- On 6 January 2021, the Company issued 208,991 ordinary shares
('Consultancy Shares'), to a supplier for financial modelling and
business development services rendered in the months of November
and December, at an average issue price of 5.74 pence per share
being calculated as the monthly volume weighted average price
calculations for the respective months in which the services were
rendered.
-- On 11 January 2021, the Company received a Warrant Exercise
notice over 833,333 new ordinary shares for a consideration of
GBP62,500. The Warrants are being exercised by Align Research in
consideration for surrendering an equivalent value of loan notes.
Additionally, the Company has agreed to issue 66,667 new shares at
7.5 pence, being the coupon conversion price, in lieu of the 8%
cash coupon that is incurred on the converted loan amount.
-- On 4 February 2021, the Company received a warrant exercise
notice over 1,000,000 new ordinary shares for a consideration of
GBP55,000.
-- On 4 February 2021, the Company received a Warrant Exercise
notice over 833,333 new ordinary shares for a consideration of
GBP62,500. The Warrants are being exercised by Align Research in
consideration for surrendering an equivalent value of loan notes.
Additionally, the Company has agreed to issue 66,667 new shares at
7.5 pence, being the coupon conversion price, in lieu of the 8%
cash coupon that is incurred on the converted loan amount.,
-- On 4 February 2021, the Company received a Warrant Exercise
notice over 900,000 new ordinary shares for a consideration of
GBP67,500. The Warrants are being exercised by Align Research and
the Company has therefore today issued 900,000 new shares.
-- On 10 February 2021, the Company received a warrant exercise
notice over 187,500 new ordinary shares for a consideration of
GBP7,500.
-- On 11 February 2021, the Company issued 9,997,032 new
ordinary shares of 0.5p at a price of 10.1p through an
oversubscribed placing, raising gross proceeds of GBP1,009,700.
10. Share based payments
The Company has provided the Directors, certain employees and
institutional investors with share options and warrants
('options'). Options are exercisable at a price equal to the
closing market price of the Company's shares on the date of grant.
The exercisable period varies and can be up to seven years once
fully vested after which time the option lapses.
Details of the share options outstanding during the year are as
follows:
Shares Weighted Average
price (pence)
Outstanding at 1 January 2020 152,576,254 2.38
Outstanding at 31 December 2020 7,348,142 253.72
Exercisable at 31 December 2020 1,450,763 248.72
Outstanding at 1 January 2021 7,348,142 253.72
Granted during the year - -
Outstanding at 30 June 2021 7,348,142 253.72
Exercisable at 30 June 2021 1,450,763 248.72
The value of the options is measured by the use of a binomial
pricing model. The inputs into the binomial model made in 2020 were
as follows.
Share price at grant date 2.9p - 778p
Exercise price 5.0p - 2000p
Volatility 50%
Expected life 3-5 years
Risk free rate 0.5%
Expected dividend yield 0%
Expected volatility was determined by calculating the historical
volatility of the Group's share price over the previous 5 years.
The expected life is the expiry period of the options from the date
of issue.
Options outstanding at June 2020 have an exercise price in the
range of 2.9p and 778p (and a weighted average contractual life of
4.5 years.
Details of the warrants outstanding during the year are as
follows:
Shares Weighted Average
price (pence)
Outstanding at 1 January 2021 22,068,420 5.44
Granted during the year - -
Exercised during the year (3,754,166) 6.79
Outstanding at 30 June 2021 18,314,254 5.44
Exercisable at 30 June 2021 17,889,772 5.45
11. Events after the reporting period
There have been no significant events subsequent to the
reporting period.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
IR BRGDCUUGDGBI
(END) Dow Jones Newswires
September 09, 2021 02:00 ET (06:00 GMT)
Ascent Resources (LSE:AST)
Historical Stock Chart
From Mar 2024 to Apr 2024
Ascent Resources (LSE:AST)
Historical Stock Chart
From Apr 2023 to Apr 2024
