LONDON (Alliance News) - President Energy PLC said Wednesday it completed the acquisition of a 90% interest in two concessions in Argentina for USD9.9 million.
The upstream oil and gas company acquired stakes in the Las Bases and Puesto Prado concessions, located in the Rio Negro province of Argentina.
The province has granted President Energy a 90% operating interest over the new concessions, which have a 10-year term. EDHIPSA, the provincial energy company, holds the remaining 10% interest.
The USD9.9 million amount due for the concessions is payable within 12 months and has been partly financed by President Energy through an additional USD4.0 million of secured term loan bank facility and an additional USD4.0 million unsecured loan made to the company by IYA Ltd, which is controlled by President Chairman & Chief Executive Officer Peter Levine.
The company had requested granting of the concessions back in September.
President Energy shares were trading up 4.3% at 9.75 pence each.
