Companies: BLR   

After the recent resignation of two directors, Aussie exploration company Black Rock has proposed a deal to acquire exploration firm Afrex for £900,000 in shares at 1.5p and £300,000 in warrants at 1p. Afrex has licences located offshore Malta that are due to expire in January. In addition, Afrex 'has been advised by the relevant authorities that agreements should be entered into' this May over three prospect areas off the coast of Kenya. Meanwhile, advanced negotiations are underway about a block off the coast of Morocco. However, there are a number of conditions attached to the Black Rock/Afrex deal, all of which have to be satisfied by the end of June. Black Rock must take a listing in Australia and raise £1.35m through issuing shares at 1.5p. The deal is also conditional on the appointment of Afrex directors Henry Kennedy and Roy Rushworth to the board, plus the resignation of managing director John Scott. It proposed that a private company in which Scott has an interest will acquire 75% of Black Rock's exploration interests in southern England, and arrange finance for them. Black Rock company secretary Julian Riddick says the deal is 'a big step forward'. It puts us back on the map.' The company has a 7% interest in Western Australian acreage WA-226, in which drilling is due in the second half of the year. At the interim stage in December, the company had just £147,000 in cash.