Last checked at 26 Feb 2021 12:00
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF REGULATION 11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT) REGULATIONS 2019/310.
26 February 2021
Baron Oil Plc
("Baron" or the "Company")
Extension Request for the Chuditch PSC Approved
Baron Oil Plc (AIM:BOIL), the AIM-quoted oil and gas exploration company, is delighted to announce that SundaGas Banda Unipessoal Lda. ("SundaGas"), in which Baron is an indirect 33.33% shareholder and which operates the TL-SO-19-16 PSC (the "Chuditch PSC") in Timor-Leste, has been granted a 12-month extension to Contract Year 1 of the Chuditch PSC. Accordingly, the new expiry date of Year 1 of the 3 year initial licence phase ("Initial Period") is now 8 November 2021.
This extension to the PSC timeline comes alongside significant progress being made towards resolving issues around data access which is expected to allow SundaGas to be able to complete the commitment work programme in a timely manner.
Andy Yeo, Chief Executive of Baron Oil, Commented:
"We are delighted that SundaGas has been able to get the Chuditch project back on track, with Baron's support and in collaboration with ANPM. We look forward to updating shareholders as we move forward with this exciting and material investment."
For further information, please contact:
Baron Oil Plc | +44 (0) 20 7117 2849 | |
Andy Yeo, Chief Executive | ||
Allenby Capital Limited | +44 (0) 20 3328 5656 | |
Nominated Adviser and Joint Broker | ||
Alex Brearley, Nick Harriss, Nick Athanas (Corporate Finance) Kelly Gardiner (Sales and Corporate Broking)
| ||
Turner Pope Investments (TPI) Limited |
+44 (0) 20 3657 0050 | |
Joint Broker | ||
Andy Thacker, Zoe Alexander | ||
About the Chuditch PSC
Baron has a 33.33% interest in the shares of SundaGas (Timor-Leste Sahul) Pte. Ltd. ("SundaGas TLS"), the parent company of the Timor-Leste subsidiary holding the Chuditch PSC interest, with the remaining 66.67% being held by a subsidiary of SundaGas Pte. Ltd., a private E&P company based in Singapore. The sole asset of SundaGas TLS is its 100% shareholding in SundaGas Banda Unipessoal Lda., which in turn operates and holds a 75% interest in the Chuditch PSC, with the remaining 25% carried interest being held by a subsidiary of the Timor-Leste state oil company (Timor Gap, E.P.). Baron therefore has an indirect 25% interest in the Chuditch PSC.
The work programme for the current Initial Period of the PSC includes an obligation to reprocess 800 sq. kilometres of 3D and 2,000 kilometres of 2D seismic data in the first two-year period. Thereafter, subject to satisfactory results from the 3D seismic reprocessing, the subsequent commitment is for a well to be drilled in the third and final year of the Initial Period of the Chuditch PSC.