At the extraordinary general meeting held today, the shareholders resolved to give the Board of Directors an authorization to resolve on new issues of equity. The shareholders also resolved not to carry out a share split or a bonus issue. CEO Robert Karlsson presented the background for the extraordinary general meeting and the proposals of the Board of Directors.
At the extraordinary general meeting held earlier today, CEO Robert Karlsson presented the background for the EGM and the proposals at the EGM. Shelton Petroleum continues to see great potential in the company’s oil assets in Russia and Ukraine. The company doubled its oil production during 2013 and new investments can further increase the production volumes. Shelton Petroleum has identified areas with high growth potential and is continuously evaluating acquisitions.
With this in mind Shelton Petroleum issued two convertible debentures during 2013. The funds from the first debenture have been invested in drillings in Russia with good results. The second debenture, which was conditional upon a specific acquisition, has expired and been repaid.
In December Shelton Petroleum gave notice for an EGM to vote on a share split, a bonus issue and a mandate to issue equity. The notice was given at a time when the company was involved in a dispute. As the dispute has been solved, the Board of Directors chose to no longer recommend the shareholders to resolve on and carry out the share split and bonus issue. The Board of Directors however considered that it was important that the shareholders themselves decide on the proposals and therefore chose not to withdraw the proposals. At the EGM today, the shareholders resolved not to carry out a share split or a bonus issue.
However, the Board of Directors still considers that an authorization to issue equity to be of value for the company and the shareholders. The authorization is deemed important as it provides tools to act quickly to capitalize on business opportunities such as acquisitions and investments. At the EGM today the shareholders resolved to give a mandate to the Board of Directors to decide on share issues in accordance with the proposal of the Board of Directors.
Minutes from the extra general meeting will be available at the company’s website www.sheltonpetroleum.com.
For more information, please contact:
Robert Karlsson, CEO Shelton Petroleum, tel +46709 565141
About Shelton Petroleum
Shelton Petroleum is a Swedish company focused on exploring and developing concessions in Russia and the resource-rich basins of Ukraine. In Russia, the company holds three licenses in the Volga-Urals area in Bashkiria and has commenced production on the Rustamovskoye field after a successful exploration program. In Ukraine, Shelton Petroleum’s wholly owned subsidiary has a joint venture with Ukrnafta and Chornomornaftogaz, two leading Ukrainian oil and gas companies. The Shelton Petroleum share is traded on NASDAQ OMX Stockholm under the under the symbol SHEL B.