Shares in Trap Oil, the North Sea exploration and production minnow, surged earlier this week, but that rise has now been sent into reverse.
The company - which warned in April it needed new funding to avoid insolvency - now says it will run out of cash in early July unless it finds a deal.
It said it was looking at the potential disposal of some of its licence interests, and is in discussion with its main creditors, shareholders and potential investors. It added:
However no firm decisions or conclusions have yet been reached and there can be no certainty that a viable funding solution will be forthcoming.
The directors continue to believe that, absent a viable funding solution, the company currently only has adequate working capital to support its activities until early July.
The shares - which more than doubled on Thursday to no doubt prompt the company’s statement - have no fallen 8% to 0.85p.
