(Alliance News) - Range Resources Ltd on Thursday said its shares remain suspended in Australia due to concerns over debt repayment.
Shares in the oil and gas company dropped a stark 29% to 0.012 pence in the early afternoon.
On Friday last week, Range announced it had not been able to agree the acquisition of an educational business in China and therefore requested that the ASX restore its shares.
However, the ASX has said it does not plan to do so unless Range can demonstrate how it intends to repay its debt to LandOcean Energy Services Co Ltd.
The company had agreed a debt restructuring with major shareholder LandOcean but this was conditional on the acquisition going ahead. Given the cancellation Range currently owes USD91 million to LandOcean, including a USD20 million convertible note due for repayment in November.
Range said it is in talks with LandOcean to revise the terms of its outstanding balance, although it cannot guarantee an agreement will be reached. It is also looking at "other transaction opportunities" which will be announced "as and when appropriate".
