Hunt for oil deals
Stewart’s Longboat Energy eyes acquisition targets
Graham Stewart: founder
Longboat Energy is “evaluating” a number of acquisition opportunities just months after raising £10 million in a flotation.
The company, formed by former Faroe Petroleum founder and chief executive Graham Stewart, reported its maiden full-year results showing a £196,301 pretax loss and no revenue. Faroe was purchased by DNO ASA of Norway in January last year for £600 million.
Longboat was admitted to the stock market in November with the aim of securing oil and gas interests in Norway, the UK, or the wider European Economic Area.
Chief executive Helge Hammer said: “We are currently evaluating a number of deal opportunities which may prove to be suitable acquisition candidates. A key objective for any acquisition will be a focus on investments where we believe we can facilitate growth and unlock inherent value.”
He added: “The initial focus of the directors is to identify, secure and finance a first acquisition that will deliver asset(s) that are able to meet the company’s investment criteria (including near term cashflow) as well as provide an appropriate basis to build on the company’s investment objectives.
“In parallel, the board will continue to focus on seeking additional opportunities for generating shareholder returns in the medium and long-term beyond the first acquisition.”
Mr Stewart, chairman of Longboat, received £12.5m through DNO’s acquisition of his Faroe shares.