RE: Managem - Sound Deal Press Release (only in French)15 Jun 2024 21:22
Fantastic evening to you too Pescado, you just motivated me (only an interested/observing PRD holder) to google translate the Managem Press release.
The Managem Group announces the acquisition of Sound Energy Morocco East Ltd at the end of an open process in competition with international investors.
The energy future of Morocco and more broadly of Africa requires structural investment
in low-carbon energy sources, first and foremost gas assets. To participate in meeting this national challenge, the Managem Group is creating an industrial natural gas division and
announces the acquisition of Sound Energy Morocco East Limited (SEME) following an
open competition with international investors.
This agreement covers the acquisition of:
55% of the Tendrara operating concession,
47.5% of the Grand Tendrara exploration permit,
47.5% of the Anoual exploration permit.
Imad Toumi, Chairman and Chief Executive Officer of the Managem Group, explains: "Sound Energy Plc has selected Managem in an open and competitive process. Sound Energy, which was looking for an investor to finance its development, has found in Managem a solid, long-term partner capable of develop and carry out this project for the benefit of all Moroccan industrialists who will thus benefit clean and cheaper energy for their operations. Although modest in size, the Tendrara project will contribute positively to the Kingdom's energy independence and trade balance. In addition, the Group is actively looking for other gas assets in Africa, thus strengthening its diversification strategy and contributing to the continent's energy development".
The gas development plan for the Tendrara development project is designed in two phases:
Phase 1: under construction, with a view to producing 100 million cubic meters per year
of Liquefied Natural Gas (LNG) from mid-2025 via a processing facility, liquefaction and on-site gas storage systems, to meet the needs of National industries.
Phase 2: currently undergoing a feasibility study, plans to build a treatment unit and a
pipeline connecting the Maghreb-Europe Gas Pipeline (GME), to supply 280 million cubic metres per year of natural gas to contribute to the Kingdom's gas supply sources.
The terms of the agreement provide for an amount of approximately US$12 million (approximately MAD 119 million) payable on completion of the transaction as well as the assumption of Sound Energy PLC's share of a financing of up to US$24.5 million (approximately MAD 244 million) during the implementation of the phase 2 of the project.
The global agreement is subject to the fulfilment of certain conditions precedent, including the receipt of the regulatory approvals. With this agreement, the Managem Group is expanding its activities to include the upstream exploitation of natural gas in Morocco and confirms its ambition to become a regional player in the promotion of resources with a low carbon footprint.
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