Arkadian Strategic Metals plc has sold its 11.765% interest in the Horse Hill onshore oil exploration licence and started legal action over its Sweden rare earth elements earn-in.
The company’s share in PEDL137 is through its 18.1% interest in Horse Hill Developments Ltd, whose former majority owner was UK Oil & Gas plc, which is now known as UK Energy plc.
Under the share purchase agreement with buyer energy B plc, Arkadian will receive £137,386 cash and 400,000 warrants over ordinary shares in energy B, exercisable at 12 pence per share for a period of three years.
Completion of energy B’s entire acquisition of Horse Hill remains subject to approval from the North Sea Transition Authority.
SWEDEN
Elsewhere in its portfolio, Arkadian has begun legal proceedings against private Swedish company McKnight Resources AB, which holds the Finnsbo 100 mineral exploration licence in eastern Bergsladen, Uppland.
The move follows McKnight’s purported termination of Arkadian’s rights under the binding Finnsbo earn-in and failure to vest in Arkadian the 25% interest after it completed agreed stage I exploration expenditure.
Arkadian added: “Notably, McKnight purported to terminate Arkadian’s earn-in rights in November 2025 while the company was in the midst of drilling the third and final hole of its programme at Finnsbo, notwithstanding that McKnight had itself actively assisted the company in designing the programme, preparing the relevant permitting applications and getting drilling operations underway.
“The board considers McKnight’s actions in these circumstances, and its continuing refusal to recognise and give effect to Arkadian’s contractual rights, to constitute serious and egregious breaches of contract.
“Arkadian’s primary claim seeks specific performance of the agreement.
“Alternatively, the company seeks damages for breach of contract, together with interest and legal costs. The board firmly believes that Arkadian has strong and compelling grounds for its claims.”
The hearing will be held in the Stockholm District Court.