Shares of Edinburgh-based Capricorn Energy rose as much as 11% on Monday after it said the Egyptian House of Representatives ratified “the consolidated and amended concession agreement covering eight of the company’s existing Egyptian Western Desert concession agreements.”

Capricorn said it has a 50% participating interest held jointly with Cheiron Oil and Gas Limited in the concession agreements.

“The ratification represents a key milestone in the process to consolidate, extend and improve the terms of the company’s Western Desert asset base …” said Capricorn.

“The new agreement extends the concession life by up to 20 years with a 10-year development term and two 5-year optional extension terms, amends the fiscal terms to promote investment, and merges the existing concessions to increase operational and financial efficiencies …

“The company will now work with its partner and the Egyptian authorities to complete the remaining customary steps required for the Minister of Petroleum and Mineral Resources to sign the amended concession agreement. This is expected to occur in the coming weeks.”