Gunsynd sinks cash into Oyster Oil & Gas

Gunsynd announced on Friday that it has signed a subscription agreement with Oyster Oil & Gas, a junior oil and gas exploration and production company quoted on the Toronto Venture Exchange in Canada, to invest £0.125m as part of a wider fundraising with existing investors of £0.25m.

The AIM-traded firm said Oyster is listed on the TSV Venture Exchange, and is an international energy group focused on oil and gas exploration and production activities in underexplored hydrocarbon basins.

It currently operates four blocks in the Republic of Djibouti - three blocks located onshore and one offshore - and is also the sole interest holder in one onshore block in the Republic of Madagascar.

Gunsynd said it is investing CAD 0.2m, or £0.125m, at a price of 20 Canadian cents per share for 1,000,000 shares in Oyster.

The company will also receive a warrant over an equivalent number of shares at a strike price of 27 Canadian cents exercisable up to 20 January 2018.

“This initial investment into Oyster offers the company the opportunity to participate in a large, multi-billion barrel prospective resource at what we believe to be a compelling valuation and complements our portfolio of near term oil production companies,” said Gunsynd chief executive Hamish Harris.