RNS13 May 2021 08:07
Genel Energy PLC: Proposed amendment to KRG payment schedule
13/05/2021 7:00am
UK Regulatory (RNS & others)
Genel Energy PLC (GENL)
Genel Energy PLC: Proposed amendment to KRG payment schedule
13-May-2021 / 07:00 GMT/BST
Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014
(MAR), transmitted by EQS Group.
The issuer is solely responsible for the content of this announcement.
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13 May 2021
Genel Energy plc
Proposed amendment to KRG payment schedule
Genel Energy plc ('Genel' or 'the Company'), in line with other operators, has received a letter from the Kurdistan
Regional Government ('KRG') proposing an amendment to the repayment schedule for monies owed for oil sales from
November 2019 to February 2020 and the suspended override from March to December 2020. Under the communicated revised
payment terms, for each cent above a monthly dated Brent average of USD50/bbl, 0.2 cents per paying interest barrel
produced will be received towards monies owed (previously 0.5 cents per paying interest barrel). The revised payment
terms are stated by the KRG to be a result of the Dated Brent price having consistently stayed well above USD50/bbl, and
the ongoing challenges presented by the COVID-19 pandemic in Iraq.
The KRG has stated that the amended payment schedule will be applied to the March 2021 invoices onwards, and that
payment terms will be 60 days after the submission of invoices.
The KRG has also stated that, should markets see substantial volatility, it will re-evaluate this payment model.
Override payments, whereby Genel receives 4.5% of monthly Tawke gross field revenues, will continue.
The proposal has not been discussed with, or accepted by, Genel, and we look forward to discussing it with the KRG
shortly.
-ends-
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