Company to de-list from AIM in December
Majority shareholder H2P has agreed to invest US$700,000
What it does
In Canada, Cabot is redeveloping and expanding a light oil production play from Devonian carbonate reefs and developing these horizons in north-west Alberta.
The assets are located in Rainbow and Virgo and consist of mineral leases, production facilities, pipeline infrastructure and wells.
Production in the half-year to June averaged 485 barrels per day, down from 761bbl a year earlier.
Revenues were US$4.1mln (US$7.5mln) while the group broke even at an adjusted level for underlying profits.
In Italy, Cabot is set to receive a payment from Shell following both withdrawing from their licence in the Po valley region.
Proceeds from the US$700,000 H2P Subscription will allow Cabot to carry out its summer work programme and give it liquidity until early December 2019.
At that time, Cabot intends to approach shareholders again for further funding.
H2P, which has 72.2% stake, has confirmed it will provide the financial support needed to complete the summer work programme and as required to secure a C$5 million asset-based term loan facility from a Calgary-based private energy lender.
That loan will be used to commence a winter work programme.