San Leon sells Island Oil and Gas to Ardilaun in $3m deal
Exploration firm San Leon Energy, which is headed by former telecoms boss Oisin Fanning, has agreed to sell its Island Oil and Gas subsidiary for $3m (€2.2m) to Ardilaun Energy.
San Leon – which is listed on London's Alternative Investment Market – will also secure a 20pc stake in Ardilaun, which is headed by Circle Oil co-founder and director John McKeon, and which intends to seek a stockmarket listing.
The binding heads of agreement signed by San Leon see interests in the Atlantic and the Celtic Sea sold on to Ardilaun.
Island Oil and Gas, which was co-founded by current Fastnet Oil and Gas managing director Paul Griffiths before being sold to San Leon in 2010, has working interests in the Porcupine Basin, Rockall and Slyne licence areas in the Atlantic, while it also has interests in the Seven Heads gas field in the Celtic Sea and another licence called Schull.
San Leon's net profit interest in the Barryroe licence, which is located in the north Celtic Sea, will be excluded from the sale.
This week San Leon entered into an agreement to buy a 75pc interest in Turkish exploration firm Alpay Enerji.