Independent Oil and Gas surges on extension to Skipper deal deadline

Shares in North Sea-focused Independent Oil & Gas surged after it said it has agreed an initial extension to the deadline for its proposed acquisition of Skipper project assets as it looks for new funding arrangements.

The company said the fundraising deal it had expected to complete in August is no longer proceeding an it was now actively pursuing alternative funding opportunities.

Chief executive officer Mark Routh said: "We are pleased to have a little more time to close out this transaction, which will optimise our chances of securing the funding required to drill the commitment well on Skipper."

On 3 June, IOG announced that it had signed a sale and purchase agreement to buy a 50% stake in the Skipper license offshore the Shetland Islands from Alpha Petroleum.

At 1057 BST, IOG shares were up 7.9% at 6.74p.