WTI (Nov) $57.54 +8c, Brent (Dec) $61.29 +23c, Diff -$3.75 +15c
USNG (Nov) $3.01 +7c, UKNG (Nov) 79.92p -1.29p, TTF (Nov) €31.77 -€0.225

Oil price

Oil was off a touch over a dollar last week and is off again today, talk of plentiful supplies and a report that the amount of oil at sea is at record levels along with easing of tensions between the US and China persist. 

Looking at the wider energy scene it’s worth noting that Vestas Wind Systems have stopped building a big factory in Poland which was meant to be for turbine blades production citing a lack of demand for wind technology in Europe, Mr Milliband won’t find his 400/- jobs if that happens…

Sunda Energy

Sunda has confirmed the result of the WRAP Retail Offer.

The WRAP Retail Offer, at a price of 0.025 pence per share with accompanying 1-for-2 warrants, was multiple times oversubscribed, demonstrating the strong support from Sunda’s retail shareholder base and new investors. As a result, in accordance with the terms of the WRAP Retail Offer, the Company has decided to increase the size of the WRAP Retail Offer to partially accommodate some of this excess demand. Despite this increase, applications still substantially exceeded the available allocation and, accordingly, were scaled back. As such, the Company has successfully raised £470,000 pursuant to the WRAP Retail Offer and will issue a total of 1,880,000,000 new Ordinary Shares at the Issue Price and 940,000,000 warrants pursuant to the WRAP Retail Offer.

To effect this increase, as the Company is limited by its authorities disapplying pre-emption rights granted at the Company’s annual general meeting held on 27 June 2025, the Subscription Shares being subscribed for by the Directors and senior management under the Subscription, as set out in the Company’s announcement of 15 October 2025, will be deferred until their issue is approved at a general meeting of the Company to be held as soon as is practicable. A circular and notice of general meeting is expected to be sent to shareholders during the course of next week.

In the event that the resolution at the general meeting to grant the authority to approve the Issue of the Subscription Shares and accompanying Warrants pursuant to the Subscription is not approved by shareholders, then the Directors and senior management would invest the funds into the Company as zero coupon loans. The intention is that these loans would then become convertible into new ordinary shares in the Company on the same terms as the WRAP Retail Offer as soon as the Company has the requisite authorities.

As a result of the above, the Company has raised conditionally gross proceeds of £710,000 for the Company, via the WRAP Retail Offer and the Subscription. The Subscription is now conditional on shareholder approval and will raise gross proceeds of £240,000 which will result in the issue of 960,000,000 new Ordinary Shares at the Issue Price and the issue of 480,000,000 warrants (all subject to shareholder approval).

Dr Andy Butler, CEO of Sunda, commented:
“The exceptionally strong take up of this retail offer is very welcome and a great testament to the investment case for Sunda Energy. The offer was closed earlier than expected and was multiple times oversubscribed. I thank investors for this exceptional support and my fellow directors and colleagues’ consent to stand aside to partially accommodate demand pending a general meeting and shareholder vote for their share subscriptions.”

Prospex Energy

Prospex has informed shareholders that gas production has resumed from the Viura‑1B well in the Viura gas field in northern Spain.  The operator of the Viura field, HEYCO Energía Iberia S.L. (“HEI” or the “Operator”) brought the well back into production on Friday 17 October 2025.  The well was started with a reduced choke setting and ramped up in stages to reach 120,000 cubic metres per day with 7 cubic metres per day of water by Sunday 20 October 2025.  Start-up is ongoing with the target of reaching 180,000 cubic metres per day plateau production this week.

Prospex owns 7.24% of the Viura field through its ownership of 7.5% of HEI.  Prospex is accruing 14.47% of the production income from the Viura gas field until payback of its initial capital investment (expected to be ≈£8 million) plus the accrued 10% p.a. interest thereon.

During the well tests performed in August with wireline downhole pressure and flowrate monitoring, a failure in the pressure control equipment required the safe and controlled cutting of the associated cable while still inside the well.  Operations to retrieve equipment from the well, using equipment mobilised from Aberdeen UK have been completed safely and without incident and the well is now back in  production.

Mark Routh, Prospex’s CEO, commented:
“The resumption of production from the Viura field is very welcome news. The operator safely removed the severed wireline cable from the well with no injuries or safety incidents, enabling recommencement of gas production from the well.  Prospex’ share of production from Viura represents the largest contribution to the Company’s portfolio of net production with the associated reinstatement of cashflow being particularly welcome news.”

Good to see production back at Viura where Prospex has 7.24% stake, so not the making of millions but it is important and the well will get up to 180,000 cubic metres per day later this week. 

Savannah Energy

The Company expects to announce its Half Year Results to 30 June 2025, an operational and financial update for the nine months to 30 September 2025 and publish its 2024 Annual Report and Accounts during the first half of the week commencing Monday 20 October 2025. As a result of the delayed publications, and pursuant to the requirements of AIM Rules 18 and 19, trading in the Company’s shares will remain suspended until both sets of accounts are published. 

All being well I will be able to comment on the results tomorrow, not enough time tonight for the deadline.

Diversified Energy Company

On September 30, 2025, Diversified announced its intention to move the Company’s primary listing to the New York Stock Exchange while retaining a secondary listing on the London Stock Exchange. The proposed change will be implemented by way of a UK scheme of arrangement pursuant to which a new US company (“NewCo”) will become the new parent holding company of Diversified (the “Transaction”).

Today, the Company has published a circular and notice of the shareholder meetings (the “Circular”) outlining details of the Transaction and convening the shareholder meetings (the “Meetings”) to approve certain matters related to the Transaction.

A copy of the Circular is available on Diversified’s website within the Investors section at https://ir.div.energy/news-events/regulatory-news and will also be submitted to the National Storage Mechanism, and will be available for inspection at https://data.fca.org.uk/#/nsm/nationalstoragemechanism

Subject to the passing of the relevant resolutions proposed at the Meetings and court and other regulatory approvals, it is anticipated that the scheme will become effective on or around November 21, 2025. The shares of NewCo are expected to be listed on the NYSE, and the admission of the shares of NewCo to listing on the equity shares (international commercial companies secondary listing) category of the Official List of the FCA and to trading on the London Stock Exchange’s main market for listed securities is expected to become effective on or around November 24, 2025.

Just publishing the legal stuff so DEC shareholders can keep in touch with the situation.

Original article   l   KeyFacts Energy Industry Directory: Malcy's Blog