Gasol Posts Half Year Results (UK)

Gasol plc, the West African energy development company, announced interim results for the six months ended 30 September 2012.

Highlights:

• Corporate objectives were further developed over the last six months;
• Board strengthened by the appointment of Cornelia Meyer as Non Executive Chairman;
• Joint venture and asset management agreement signed with Societe BenGaz S.A, for the establishment of a JV company (to be named “Cogaz”) and the distribution and sale of natural gas in Benin and elsewhere in West Africa;
• Option Agreement signed for the acquisition of African Power Generation Limited (“Afgen”), which has an existing pipeline of LNG Import Projects; and
• £950,000 of new funds raised from African Gas Development Corporation Limited, Gasol’s largest shareholder, as part of a £2.5 million convertible loan facility. Post period end:
• Strategic alliance agreement signed with Socar Trading S.A. (“STSA”) in relation to Gasol’s proposed LNG Import Project in Benin, on a non-exclusive basis;
• Memorandum of Understanding signed for Cogaz to supply gas to Communaute Electrique du Benin, (“CEB”) the electric authority for both Benin and Togo; and
• Corporate website re-launched and appointment of Yellow Jersey as PR agency.

Financials

The financial results for the period reflect an increase in development costs due to increased project activity, the recruitment of a new management team and costs related to a potential transaction.

The loss after tax for the six month period was £1,736,132 compared to a loss of £1,041,086 in 2011, equating to a loss per share of 5.6p compared with a loss of 4.7p per share (0.09p on a pre-consolidated basis) for the period ended 30 September 2011. Cash balance at 30 September 2012 was £246,437 (30 September 2011: £166,725).

Gasol’s intends to monetize African gas by providing gas to power projects and infrastructure. The strategy includes initially supplying LNG and then pipeline gas from African gas fields.

The Company aims to assist the development of gas infrastructure as well as to encourage the growth of gas-fired power generation in West Africa.

Alan Buxton, Chief Operating Officer of Gasol, commented: “Gasol has made progress during the last six months. The Company is seeking to supply gas to markets which are gas constrained, in order to displace more expensive liquid fuels such as diesel and light crude that are currently used in power generation and for industry. In the short term, Gasol will provide this gas through LNG Import Projects.”

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LNG World News Staff, December 31, 2012