Ashurst is advising Rockhopper Exploration plc on its proposed £57 million merger with Falkland Oil & Gas Limited (FOGL).

The all-share offer, which is recommended by the directors of both companies, will be effected by means of a Falkland Islands scheme of arrangement. When the merger becomes effective, the current shareholders of Rockhopper will own approximately 65% of the enlarged group and FOGL shareholders will own approximately 35%.

On completion, the enlarged Rockhopper group is expected to be the largest oil exploration licence holder in the North Falkland Basin.

The Ashurst team is being led by partner Michael Robins, assisted by senior associate Alex Verzariu.