A busy session for small-cap energy and energy-adjacent names saw Pharos Energy deliver the most operationally significant update, confirming it has cleared a substantial Egyptian receivables backlog and spudded the first well of a new six-well programme. Elsewhere, Sterling Digital (LSE:ASIC) locked in a five-year gas supply deal for its West Texas bitcoin-mining operation, Union Jack Oil (AIM:UJO) secured fresh working capital via a loan from Egdon, and Zenith Energy (LSE:ZEN) added another Italian solar asset to its growing pipeline.
Pharos clears Egyptian receivables and restarts drilling
Pharos Energy (LSE:PHAR) confirmed it has collected $12.6m in Egypt year-to-date, including $3.8m received in the most recent week, resolving a receivables overhang that had weighed on the company's financial position. The group has also settled contingent farm-out payments and committed $11m of capital expenditure to a fresh six-well drilling programme, with the first well now spudded.
The operational restart marks a meaningful step forward for Pharos in Egypt, where delayed payments had been a persistent concern. Shares edged marginally lower to 28.841p, down 0.2%, suggesting the market had largely anticipated the receivables resolution.
Sterling Digital secures five-year West Texas gas supply deal
Sterling Digital (LSE:ASIC) signed a five-year gas purchase agreement that secures supply of up to 6,500 MMBtu per day, providing the energy capacity to support approximately 25MW of bitcoin-mining power at its West Texas site. The deal gives the company long-term fuel cost visibility for its mining operation and removes a key supply risk at the project level.
Shares ticked up 0.51% to 4.95p on the news, a modest but positive reaction to what represents a material infrastructure milestone for the business.
Union Jack draws £1m Egdon facility secured on Wressle interests
Union Jack Oil (AIM:UJO) agreed a 24-month, £1m secured loan facility with Egdon Resources U.K., with the borrowing secured against Union Jack's interests in the Wressle field. The facility is intended to provide additional working capital as the company manages its ongoing production and development activities.
The arrangement reflects the continued use of asset-backed financing structures among smaller UK oil producers navigating tight capital markets. Shares slipped 2.31% to 3.517p.
Zenith Energy acquires Rome-area solar site for EUR 440,000
Zenith Energy (AIM:ZEN) agreed to acquire a 5 MWp ground-mounted photovoltaic development site near Rome for a land consideration of EUR 440,000, payable on permitting. The addition lifts Zenith's Italian solar pipeline to 188.5 MWp, equivalent to 94% of its stated 200 MWp target for 2026.
The acquisition continues a steady build-out of the company's renewable energy portfolio in Italy. Shares fell 3.33% to 5.075p, though the move appeared unrelated to the announcement itself.
