Sac Oil has suspended it shares on the AIM Market of the London Stock Exchange as it considers a reverse takeover.
The South African based independent African oil and gas company today said that it is in advanced negotiations on an exclusive basis to acquire a Southern African focussed petroleum product related wholesaler.
A company spokesperson said: “The board of SacOil believes that the proposed acquisition is fully in keeping with the company’s stated strategy of focussing on cash generating opportunities that expand SacOil’s offering across the oil and gas value chain.
“If concluded, the proposed acquisition would significantly increase SacOil’s turnover and provide the company with a foothold in the downstream oil and gas market which compliments its existing upstream assets such as the producing Lagia field in Egypt.”
Sacoil’s shares will remain suspended until either an admission document setting out details of the proposed acquisition is published or confirmation is given that the proposed acquisition is not proceeding.