27 Apr 2015 07:00
27 April 2015
Circle Oil Plc
("Circle" or the "Company")
Amendment and Extension of Convertible Loan Agreement
Further to the announcements of 12 February and 10 March 2015, Circle Oil Plc (AIM: COP), the international oil and gas exploration, development and production company, is pleased to announce the signing of the agreement relating to the amendment and extension of its convertible loan agreement dated 8 June 2007 (as amended and restated on 23 May 2012) with Circle Link S.ar.l, a subsidiary of Kuwait based KGL Investment Company, under which US$30 million was due for redemption by 19 July 2015.
As set out in the circular to shareholders dated 12 February 2015, Circle will repay US$10 million before 19 July 2015 whilst extending the remaining US$20 million until 19 July 2017 at a revised conversion price of £0.136 per ordinary share with a right to Circle to further extend the date until 19 July 2018 and 19 July 2019 on amended terms.
For further information contact:
Circle Oil Plc (+44 20 7638 9571)
Steve Jenkins, Chairman
Investec (+44 20 7597 5970)Chris SimGeorge Price
James Rudd
Citigate Dewe Rogerson (+44 20 7638 9571)Martin JacksonShabnam Bashir
Murray Consultants (+353 1 498 0300)Joe Heron
Pat Walsh
Notes to Editors
Circle Oil Plc (AIM: COP) is an international oil & gas exploration, development and production company holding a portfolio of assets in Morocco, Tunisia, Oman, and Egypt with a combination of producing assets, low-risk, near-term production opportunities, and significant upside exploration potential. The Company listed on AIM in October 2004.
Internationally, the Company has continued to expand its portfolio over the past years and now has assets in the Rharb Basin, Morocco; the Ras Marmour Permit in southern Tunisia; the Mahdia Permit offshore Tunisia, and the Zeit Bay area of Egypt. Circle also has the largest licensed acreage of any company in Oman with an ongoing exploration programme in Block 49 onshore.
Circle's strategy is to locate and secure additional licences in prospective hydrocarbon provinces and, through targeted investment programmes, monetise the value in those assets for the benefit of shareholders. This could be achieved through farm-outs to selected partners who would then invest in and continue the development of the asset into production, or Circle may opt to use its own expertise to appraise reserves and bring assets into production. Through either route the objective would be generation of sustained cash flow for further investment.
Further information on Circle is available on its website at www.circleoil.net.