Eden Energy Sells Shale, CBM Interests in Wales

An Australian company has agreed to sell UK shale gas and coal seam methane exploration licences for £10 million (€11.7m).

Eden Energy is selling its 50% joint venture interests in 17 petroleum and development licences (PEDLs) in Wales and England and its 100% stake in a further three PEDLs in Wales. The buyer is Shale Acquisition Ltd, a subsidiary of Shale Energy.

Eden shares licences for about 1,000sq km in Wales, stretching from Swansea to Llantwit Major, with Bridgend-based Coastal Oil and Gas Ltd.

In its statement, Perth-based Eden said it had expert advice that the licences contained "significant quantities of hydrocarbons."

The conditional deal consists of a cash payment of £750,000 and £6m in shares of Shale Energy, which is planning to list on the AIM market of the London Stock Exchange.

According to documents lodged with Companies House, Shale Energy was incorporated on March 20 this year and its registered address is a London law firm.

According to Wales Online, the papers were lodged by Sean Blackwell, who is a director of five companies, which include Shale Gas Poland Ltd and Shale Gas Europe Ltd.