(Alliance News) - Curzon Energy PLC on Friday said it has agreed a refinancing of its GBP200,000 of outstanding secured loan notes.
The oil and gas developer has agreed with its lenders to capitalise the interest and fees so far into a new GBP216,553 principal amount, as of October 1. The interest rate will remain at 13% per annum and interest will henceforth be due monthly on the new outstanding principal amount.
Curzon will repay the loan either following a transaction involving its interest in the Coos Bay coal bed methane project in the US state of Oregon, in the event of a fundraising of more than GBP500,000, or by the end of 2019 - whichever comes first.
Curzon's lenders have the right to be repaid in shares so long as the firm is authorised to issue such shares.
The firm announced its GBP200,000 note issue plan in July 2019, intending to use the funds to finalise negotiations and documentation for a Texas gas project, and they were due for repayment in October.
Shares in Curzon were untraded at 1.05 pence in London on Friday morning.
By Anna Farley; annafarley@alliancenews.com
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Curzon Energy (CZN)