(Alliance News) - Savannah Petroleum PLC on Friday said it has renewed its EUR11.4 million unsecured revolving loan facility for another three years.
Shares in the London-headquartered oil & gas firm were up 5.6% at 22.18 pence in London in morning trade.
The loan was renewed with Oragroup SA, a west and central Africa focused banking group, having originally been signed in 2016. The terms are unchanged, with the loan still carrying a 7.5% interest rate payable semi-annually on amounts borrowed.
The facility was intended to provide working capital and to be used for general corporate purposes, which is still the case for the renewed loan.
Savannah Chief Executive Isatou Semega-Janneh said: "We are extremely pleased to extend the revolving loan facility with Oragroup. It has given us substantial financial flexibility at a highly competitive rate of interest in the last three years as we have successfully carried out our multi-well Niger drilling campaign and completed the Seven Energy transaction. We thank Oragroup for their continued support and look forward to working with them in the coming years."
By Anna Farley; annafarley@alliancenews.com
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