San Leon Energy PLC Nigerian Onshore Production Deal Update (0678Z)
May 24 2016 - 1:02AM
UK Regulatory
TIDMSLE
RNS Number : 0678Z
San Leon Energy PLC
24 May 2016
24 May 2016
San Leon Energy plc
Nigerian Onshore Production Deal Update
San Leon Energy plc ("San Leon" or "the Company"), the AIM
quoted oil and gas exploration and production company focused on
Europe and Africa, is pleased to provide the following update on
its production deal on the OML 18 block, onshore Nigeria.
Certain defined terms used herein are set forth in the
"Definitions" section of this press release.
All dollar amounts or references to "$" refer to US dollars.
As announced on 16 May 2016, in order to complete the subsequent
parts of the OML 18 Production Arrangement (collectively the
"Remaining Transactions") which would result in the Company
securing a 9.72% indirect economic interest in OML 18, BidCo was
required to raise an additional $100 million which was intended to
be structured as secured notes ("Loan Notes") issued by BidCo.
A further $30 million, structured as Loan Notes, issued on the
same terms as the previous Loan Notes (i.e 17% coupon), has now
been provided by funds managed by Toscafund. BidCo has, through a
share buyback of its own shares, completed the second step of the
three-step OML 18 Production Arrangement. As a result Midwestern
now holds 70.43% of Bidco and San Leon's share of BidCo has
increased to 29.57%, equal to an economic interest in OML 18 of
5.75%.
San Leon's shares in Bidco remain pledged to Toscafund pending
San Leon shareholder and regulatory approvals. Following completion
of the third and final step of the Remaining Transactions
(requiring $70 million) and of the OML 18 Production Arrangement,
San Leon will hold a 40% interest in BidCo.
Oisin Fanning, Executive Chairman, commented:
"The Company is grateful to Toscafund for providing debt funding
to secure the second step of the Acquisition, while the Company
organises placing funds. As announced on 16 May 2016, the Company
is proposing to repurchase all Loan Notes, subject to San Leon
shareholder and regulatory approvals, using funds from the proposed
placing."
Enquiries:
San Leon Energy plc
Oisin Fanning, Executive
Chairman +353 1291 6292
SP Angel Corporate
Finance LLP
Nominated Adviser
and Joint Broker
Ewan Leggat
Richard Morrison +44 (0) 20
Richard Hail 3470 0470
Whitman Howard Limited
Joint Broker
Nick Lovering +44 (0) 20
Francis North 7659 1234
Brandon Hill Capital
Limited
Joint Broker
Oliver Stansfield +44 (0) 20
Jonathan Evans 3463 5000
Vigo Communications
Financial Public
Relations
Chris McMahon +44 (0) 20
Alexandra Roper 7830 9700
Plunkett Public Relations +353 (0) 1
Sharon Plunkett 280 7873
www.sanleonenergy.com
Definitions
"Acquisition" or The acquisition of an interest
"OML 18 Production in OML 18 by San Leon
Arrangement"
"BidCo"
Midwestern Leon Petroleum Limited,
a Mauritian incorporated special
purpose vehicle, established for
the purpose of holding the combined
OML 18 interest of both San Leon
Energy and Midwestern Oil & Gas
Limited. On completion, San Leon
will hold 40% and Midwestern will
hold 60% of BidCo
"Midwestern" Midwestern Oil & Gas Company Limited,
a private Nigerian upstream and
midstream exploration and production
company
"OML 18 " The onshore mining lease in the
Southern Niger Delta region of
Nigeria known as OML 18
"Toscafund" Toscafund Asset Management LLP
This information is provided by RNS
The company news service from the London Stock Exchange
END
MSCPGUPUAUPQPGW
(END) Dow Jones Newswires
May 24, 2016 02:01 ET (06:01 GMT)
San Leon Energy (LSE:SLE)
Historical Stock Chart
From Aug 2024 to Sep 2024
San Leon Energy (LSE:SLE)
Historical Stock Chart
From Sep 2023 to Sep 2024