Northcote jumps on first day of trading

LONDON (ShareCast) - Northcote, the first oil and gas company to list on London's junior AIM market this year, saw shares jump 15 per cent in its premier day of trading.

The US-focused company's stock rose to 1.15p today after it raised £1m at 1p per share.

It plans to use the money to fund the fraccing of up to six wells in Osage County in 2013 and drill two wells to develop the Company's Layton Sand's acreage.

It also plans to get involved in a 12 well drilling programme in Woods County.

The firm's portfolio boasts current net production of 26.4 barrels of oil equivalent per day.

Nortcote's Chief Executive, Randall J. Connally,said the firm had the opportunity to be 'part of the energy revolution currently taking place in US exploration and production".

"With existing production generating revenues and proven reserves with a net present value of $33.8m, far exceeding our initial market capitalisation, we believe we have a lot of room to create value for our shareholders," he said.

MM