Published: June 1, 2016 |

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Regency Mines Plc revealed it has continued to make new investments - and seemingly a name change looks increasingly necessary - as it backed another hydrocarbon venture.

The company, which had focused on mining, is now backing a new vehicle called Westport Energy PLC which is targeting gas acquisitions in the United States.

Specifically, it aims to pick up assets available via foreclosure processes.

AIM quoted Regency will put in £175,000 of pre-IPO funding, subscribing for 21,875 shares priced at £8.00 each.

Westport Energy intends to list on a London market, Regency noted, and when it does the company has committed to subscribing for a further £350,000 of new shares. Regency will also have the right, at that point, to appoint a director to the Westport board.

Andrew Bell, Regency chairman, told investors “now is the time” for the company to take a meaningful position in the US gas market, as he highlighted record low rig counts and forecasts for a pending gas supply deficit later this year.

“Westport is well positioned to take advantage of these market conditions and the gradual switch to gas as the preferred fossil fuel, as it completes a pre-IPO funding round prior to targeting gas assets as they come out of a foreclosure process,” he said.

The investment follows the group’s deal to buy into the Horse Hill oil project, onshore UK, and it marks a further departure from mining.

Bell added: “This effort along with our existing stake in the exciting Horse Hill oil project and our previously announced intention to purse an oil well and associated earn-in agreement in bankruptcy in the Central United States, demonstrates our commitment to identifying and evaluating distressed assets and executing our plan to become a premier natural resource recovery play on AIM.”

Source: (May 26, 2016) Proactive Investors

About Regency Mines
Regency Mines Plc is listed on the Alternative Investment Market of the London Stock Exchange Ltd in London and on the Frankfurt Exchange. It is also traded on the PLUS Markets platform. Regency’s flagship project is the Mambare nickel resource in Papua New Guinea. Exploration takes place across a variety of tenements in Western Australia and Queensland for copper, titanium, gold, rare earths and nickel sulphides. The Company also recently acquired the option to explore tenements in Sudan for agro-minerals. Regency also operates a mining finance and technology arm and maintains a variety of listed and non-listed holdings in the mineral resource space.

To stop by Regency Mines’s website, CLICK HERE

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