(Alliance News) - G3 Exploration Ltd on Monday said it has sought to stave off the appointment of liquidators as it comes up with a new business plan.
In mid-November, G3 said bondholders had asked the court in the Cayman Islands to appoint joint official liquidators for the company, with a petition due to be heard on Wednesday next week.
However, G3 has asked for joint provisional liquidators to be appointed, which would give G3 the chance to come up with a new plan. Its own directors would remain in charge of the company were provisional liquidators appointed.
"In view of the significant asset base and investments of over USD1 billion in the development of its assets, the company is seeking to re-structure its assets and liabilities in accordance with its previously announced business plan and believes the provisional liquidators will facilitate such execution to the benefit of all stakeholders," said G3.
"As such, the provisional liquidator appointment under the supervision of the Grand Court of the Cayman Islands is, in the opinion of the board, the preferred path forward for the proposed restructuring of the company and its subsidiaries."
A hearing on the appointment of provisional liquidators will be held on the same day as the hearing for official liquidators.
G3 owns eight gas production blocks across a number of provinces in China.
Shares were 49% higher on Monday in London at 4.00 pence each.
By George Collard; georgecollard@alliancenews.com
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G3 Exploration (G3E)