(Alliance News) - Oilex Ltd on Tuesday said it has agreed an extension of the repayment date on its AUD330,000 loan, which is worth around GBP186,000.
Shares in Oilex were up 5.8% at 0.14 pence in afternoon trade.
The loan repayment date has been moved to October 1 from Friday this week. The oil & gas company will now issue 124.1 million new options to the lenders, at an exercise price of 0.266 AUD cents while all other terms remain the same, including the loan's 5% interest rate.
Republic Investment Management Pte Ltd makes up USD300,000 of the loan balance and has an 11% shareholding in the company, meaning it is considered to be a substantial Oilex shareholder and the deal is a related party transaction under AIM rules.
Oilex has experienced issues with its Cambay oil field joint venture in India. Oilex is trying to assume the interest of Gujurat State Petroleum in Cambay, as it claims the joint venture partner did not pay its share of project expenses.