Sign In
3 May 2011 07:00
PETROCELTIC INTERNATIONAL PLC
Signing of the Amendment to the Isarene
Production Sharing Contract
On 28th April 2011 Petroceltic International plc (PCI.L)("Petroceltic" or "the Company"), announced the sale of an 18.375% interest in the Isarene Production Sharing Contract ("PSC"), to ENEL Trade S.p.A. ("ENEL"). This transaction is subject to the satisfaction of certain conditions, most notably the signing of an amendment to the PSC to effect the transfer of 18.375% of the rights and obligations under the PSC from Petroceltic to ENEL (the "Amendment").
The Amendment was duly signed by Petroceltic, ENEL and the Algerian National Company for Hydrocarbons ("Sonatrach") at an official signing ceremony in Algiers on 28th April 2011.
The only regulatory condition now remaining relates to the approval of the Amendment by Executive Decree and subsequent publication of this decree in the Official Gazette of the Algerian Government. This is an administrative process which does not confer any rights of pre-emption or challenge or involve any additional scrutiny of the terms of the transaction. The first payment under the agreement, which will be in excess of US$55 million, is due 30 days following this publication.
Brian O'Cathain, Chief Executive of Petroceltic commented:
"We are delighted to have concluded the signing of the Amendment to the PSC in an efficient and timely fashion with the active support of Sonatrach and ENEL. Petroceltic has already commenced planning for the enlargement of the Isarene appraisal campaign and introduction of our new partner. We look forward to the results from the continuation of this drilling campaign and are confident that ENEL's input will also make a significant contribution to pre-development and gas commercialisation planning when this commences in the months ahead".
Ends
Press Enquiries to:
Brian O'Cathain/Alan McGettigan, Petroceltic International Tel: +353 (1) 421 8300
Philip Dennis/Jenny Renton, Pelham Bell Pottinger Tel: +44 207 861 3919
Joe Murray / Joe Heron, Murray Consultants Tel: +353 (1) 4980300
Hugh McCutcheon / John Frain, Davy Tel: +353 (1) 679 6363
Notes to Editors:
Petroceltic International plc is an independent upstream oil and gas exploration and production company, focused on the Mediterranean, Middle East and North African area, and listed on the London Stock Exchange's AIM Market and the Irish Stock Exchange's ESM Market. The Company has exploration and appraisal assets in Algeria and Italy.
A copy of the Sonatrach Press Release relating to the signing of the Amendment to the PSC is available on the Petroceltic Corporate Website at www.petroceltic.ie
Follow the stocks
