Rex

Rex: Pending approval, its 65%-indirect owned entity, Lime Petroleum Norway AS, has signed an agreement with North Energy ASA to acquire a 20% stake in a new license in Norway, PL509. PL509 contains oil prospects in areas totalling 977 sq km, located in the North Sea, south of the Gullfaks area and about 150km west of Bergen in Norway on the Norwegian Continental Shelf. With the new license, Rex will have stakes in seven offshore licenses in Norway, up from four at its IPO in Jul '13 and the group intends to grow its portfolio in Norway to 15 next year. On aggregate, Rex has grown its portfolio from 10 licenses to 16, extending its geographical footprint in Norway, Middle East and the USA to include Trinidad & Tobago. Further, Rex has secured financing for its drilling activities in Norway into 2015, including its participation in the drilling of at least two exploration wells in its various concessions. Bloomberg consensus has 12-month TP of $1.31, implying an 115% upside for the counter.