Hot stock: Rex International up 5.7% after green light from Oman to develop oil field

SHARES of Catalist-listed Rex International gained 5.7 per cent on Friday morning after it announced that Oman's authorities had approved its plan to develop the Yunma field, which is part of its Block 50 licence.

Shares of the oilfield services firm rose to 19.1 Singapore cents at the opening bell, up from Thursday's close of 17.6 cents.

They were trading at 18.6 cents as at 10.21am, up one cent or 5.7 per cent. The counter was the most actively traded on the Singapore bourse both in terms of value and volume, with some 86.4 million shares changing hands.

In an update on its strategy and operations on Friday, Rex International said the Ministry of Oil and Gas in Oman gave the green light for the field development plan and awarded a declaration of commerciality (DOC).

The DOC allows for Rex's 86.37 per cent-owned subsidiary Masirah Oil to fully develop the oil field while continuing to explore the rest of the Block 50 concession in Oman. Masirah Oil wholly owns the concession.

Rex said the Yunma 1 well has produced more than one million barrels of oil so far, and is producing over 8,000 barrels of oil per day.

GET BT IN YOUR INBOX DAILY

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Sign UpVIEW ALL