RNS & Email - Completion of acquisition of revenue-generating producing assets in Trinidad1 Sep 2025 07:03
Hi,
Predator Oil & Gas Holdings Plc (PRD), the Jersey-based Oil and Gas Company with near-term hydrocarbon operations and production focussed on Morocco and Trinidad is pleased to advise that the previously announced transaction for the purchase of the entirety of Challenger Energy Group Plc’s St. Lucia-domiciled subsidiary company, Columbus Energy (St. Lucia) Limited (“CEG Trinidad”) and its business and operations in Trinidad and Tobago has been completed (“Completion”), with an effective date of 29 August 2025, following the receipt of all regulatory consents.
Highlights
Completion of acquisition of revenue-generating producing assets in Trinidad
Revenue-sharing and Field Services Management Agreement executed with immediate effect
No exposure to field operating costs or cost of work obligations
Carried in 13 heavy workovers and infill drilling
30% of gross current production revenues less royalties and taxes after offset against 75% of tax losses
15% of gross enhanced production revenues until cost recovery of workover and drilling costs, thereafter reverts to 30%
Final stages of negotiations with rig contractor for the T38 Rig reactivation and commissioning to drill Snowcap 3 in early 2026
Acquisition provides the Snowcap downstream logistical support, additional gathering stations, sales tanks, service equipment, workover rigs, for development and sale of oil into a pipeline entry point.
Paul Griffiths, Chief Executive Officer of Predator, commented:
“We are pleased to have successfully completed the acquisition of three new producing assets with an immediate generation of revenues for the Company from the Completion Date.
The agreement executed with NABI relieves the Company of the burden of funding minimum work obligations and field operating costs.
The arrangement also ensures that an aggressive heavy workover and infield drilling programme will be executed over the next 24 months to address over-looked opportunities with potential to enhance oil production. It provides multiple newsflow opportunities.
The revenue-sharing agreement with NABI may be regarded as a form of royalty that guarantees positive cash flow for the Company without exposure to operational risks.
The consolidation of the Trinidad business structures within the overall Company management structure ensures that our long-held principles of minimising administrative costs and not entering into interest-bearing loan arrangements but retaining exposure to potentially higher reward drilling opportunities are maintained.
The timing of Completion of the acquisition is particularly noteworthy given the recent reports from Trinidad of ExxonMobil entering the Trinidad offshore with a committed expenditure of US$ 42.5M and a reported speculative US$16.4 to 21.7B spend on development if initial seismic and other technical studies are successful. This will ensure t
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