Nostra Terra updates market on Pine Mills situation

Oil and gas exploration and production company Nostra Terra updated the market on its progress to secure the remaining 12.5% stake in the Pine Mills oil field through a non-appealable court judgement against Hammerhead Management Partners on Tuesday.

The AIM-traded firm said the court judgement was inherited from GFP Texas, the previous majority owner.

Successful completion of the process would take Nostra Terra's ownership of Pine Mills to a 100% working interest.

Nostra Terra said on Tuesday that it received notice that the auction date had been set for 5 September.

“As previously announced on 24 May, when the sale occurs, Nostra Terra will have the choice of collecting the proceeds from the highest bidder or to use the court judgement, which currently stands at $450,246, to credit bid for the 12.5% working interest in Pine Mills,” the company’s board explained in its statement.

“If there is a remaining balance outstanding of the non-appealable court judgement, Nostra Terra may continue recovery action for this sum as well as the $293,785 second trade receivable owed by Hammerhead.”

Nostra Terra also updated the market on the settlement of the Magnolia shares on Tuesday, saying that further to its announcement on 31 July, the company announced that the transfer of 204,226,749 ordinary shares of £0.001 each in Magnolia Petroleum from Steven Snead and his family was progressing, and it expected that to complete by the end of August.

“As at the close of business on 21 August, the mid-market price of a Magnolia share was 0.095p, which equates to a premium of approximately 58% to the price at which Nostra Terra acquired the Magnolia shares.”