LONDON: Pennpetro Energy Plc (LSE: PPP), a UK-based energy company focused on strategic energy projects, announced Wednesday it has signed Heads of Terms to acquire 100% of the Limnytskyi oil and gas exploration licence in western Ukraine. The acquisition will be made through a newly incorporated Polish holding company.
The Limnytskyi licence spans 172 square kilometers in the Carpathian basin, a region with over 100 discovered oil and gas fields. Pennpetro described the asset as “highly prospective” and “underexplored,” with plans to re-enter a previously abandoned well and initiate 3D seismic acquisition ahead of drilling a second well.
The agreement follows a condition outlined in Pennpetro’s September 25 company update, which required executing Heads of Terms with RMD Group and its partners as part of a Convertible Loan Note arrangement.
Chairman Stephen Lunn called the deal “transformational,” citing minimal capital requirements and the potential to contribute to Ukraine’s energy independence and sovereignty.
If completed, the acquisition would constitute a reverse takeover under UK Listing Rules, triggering a change in Pennpetro’s board and voting control. The transaction remains subject to due diligence, regulatory approvals, shareholder consent, and FCA eligibility for listing on the London Stock Exchange.
Pennpetro said it intends to move swiftly and will issue further updates as appropriate. The company is also exploring additional complementary acquisition opportunities.