() has agreed to buy out its partner on Project Peregrine in Alaska.
The company has entered into an agreement with Alaska Peregrine Development Company (APDC) that will enable the continuation of the exploration programme at Project Peregrine next winter; APDC had been mulling a pause in the exploration programme to pore over the results from the Merlin-1 well.
APDC will sell 88 Energy a 50% working interest in the project, giving the London-listed company a 100% working interest in the project. The agreement does not include the neighbouring Umiat oil field.
88 Energy will pay US$14mln to APDC, payable in new 88 Energy shares, issued in several tranches. The first tranche of 235mln shares at A$0.022 a share has already been issued to APDC.