(Alliance News) - Zenith Energy Ltd on Thursday said it continues its operations in Azerbaijan ahead of handover of its assets to State Oil Co of Azerbaijan Republic.
The oil & gas production company said it continues to operate the contract rehabilitation area in Azerbaijan, generating a daily production of 180 barrels of oil.
This is amid Zenith Energy being in the process of formalising the handover process of this contract rehabilitation area to SOCAR.
Zenith Energy said it expects the handover to be completed during the next 20 business days.
Upon completion of the handover, the company said it will no longer have any oil production operations in Azerbaijan and all field production personnel - 171 employees - will be transferred to SOCAR.
Zenith Energy said its Azerbaijan subsidiary has recently received two payments for a total of UDS350,000 from SOCAR.
It is anticipated that total receivables from oil sales towards Zenith's local subsidiary will amount to a total of USD1.2 million once the handover is completed and that payment will be received shortly thereafter.
Zenith Energy shares closed 13% higher in London on Friday at 0.85 pence each.
By Evelina Grecenko; evelinagrecenko@alliancenews.com
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Zenith Energy (ZEN)