STA.L Regulatory News (STA)

Star Phoenix Group Ltd

("Star Phoenix" or "the Company")

6 February 2020

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY THE COMPANY TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATIONS (EU) NO. 596/2014 ("MAR"). UPON THE PUBLICATION OF THIS ANNOUNCEMENT VIA REGULATORY INFORMATION SERVICE ("RIS"), THIS INSIDE INFORMATION IS NOW CONSIDERED TO BE IN THE PUBLIC DOMAIN.

DEBT RESTRUCTURE AND RRTL SALE UPDATE

Star Phoenix (AIM: STA), an international company with oil and gas projects and oilfield service businesses in Trinidad and Indonesia, provides an update with regards to the sale of Range Resources Trinidad Limited ("RRTL") by the Company to LandOcean Energy Services Co., Ltd ("LandOcean"). 

As stipulated by the sale and purchase agreement announced on 3 September 2019, LandOcean will pay the Company the total cash consideration of US$2.5 million in traches, with US$0.5 million paid to date. The next payment of US$1 million is to be paid by LandOcean within five business days of the approval of the shareholders' meeting of LandOcean, which was held on 20 January 2020. Given the outbreak of coronavirus in China (where LandOcean is located), the China's State Council extended the Lunar New Year / Spring Festival holiday across the country with banks and businesses remaining closed until 10 February 2020 at the earliest. The Company expects that LandOcean will make the payment once banks and businesses in China reopen.

Pursuant to the sale and purchase agreement, the remaining US$1 million is due to be paid within 5 business days of the completion date.