Eco Atlantic Oil and Gas Ltd has entered into a strategic alliance with Africa Oil Corp as it raises £8.46million in new capital.
As part of the move Africa Oil Corp has subscribed for shares in Eco taking a 19.77% % interest on admission.
Funds raised will be used to actively identify, negotiate and contract new oil and gas exploration assets and conduct initial work programmes.
The boardroom of Eco will be adjusted in order to match up the changes to the shareholder register.
Derek Linfield, a non-executive director of Eco, will step down from the Board of Eco in order to make room for Keith Hill, president and chief executive of AOC.
Mr Hill will become a non-executive director while Mr. Linfield will continue to serve as a consultant.
Gil Holzman, president and chief executive of Eco, said: “We are delighted to have entered into these agreements with AOC.
“AOC are a like-minded company with a similar philosophy.
“They are, like Eco, leaders in and focused on frontier regions with a view to acquiring and developing world class assets.
“They have a broad and highly experienced technical team as well as significant financial muscle to deliver their programmes and strategy.
“Also the fact that AOC has chosen Eco as a strategic investment is a powerful further endorsement of Eco’s strategy as well as a testament to the Company’s future potential and the quality of our portfolio.”
Eco is focused on work programmes in both Guyana and Namibia through a series of agreements with Tullow Oil, AziNam, and Total and these new agreements with AOC.
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