Last checked at 10 Mar 2015 14:08
Trinity Exploration & Production plc
("Trinity" or the "Company"; AIM:TRIN)
Sale of Surplus Inventory
10 March 2015
Trinity, the leading independent E&P company focused on Trinidad and Tobago, today announces the sale of surplus casing and tubing to Rigtech Services Limited, Blanket Security Limited and Well Services Petroleum Company Limited ("Purchasers") for US$3.5 million.
The sale of casing and tubing to the Purchasers constitute a related party transaction under the AIM Rules as Anthony Brash, a Director of those entities, is also a Board member and shareholder of Trinity. The directors of Trinity (with the exception of Anthony Brash) consider, having consulted with RBC Capital Markets in its capacity as the Company's nominated adviser, that the terms of the Transactions, are fair and reasonable insofar as the shareholders of Trinity are concerned.
The proceeds of the transaction will be used to reduce amounts owing to Purchasers in relation to services provided by the Purchasers to the Company. The fall in the casing and tubing market internationally means that the sale will result in a loss on sale of US$1.3 million for accounting purposes.
The rationalisation of this excess inventory has allowed Trinity to consolidate its warehousing and inventory storage thereby achieving significant leasehold rental savings.
Enquiries:
Trinity Exploration & Production Joel "Monty" Pemberton, Chief Executive Officer Tracy Mackenzie, Head of Investor Relations
| Tel: +44 (0)13 1240 3860
|
RBC Capital Markets (NOMAD & Joint Broker) Matthew Coakes Daniel Conti
| Tel: +44 (0) 20 7653 4000 |
Jefferies (Joint Broker) Chris Zeal Graham Hertrich
| Tel: +44 (0) 20 7029 8000 |
Brunswick Group LLP (PR Adviser) Patrick Handley William Medvei
| Tel: +44 (0) 20 7404 5959
|
About Trinity
Trinity is the largest independent E&P company focused on Trinidad and Tobago. Trinity operates assets onshore and offshore on both the West and East coasts. Trinity's portfolio includes current production, significant near-term production growth opportunities from low risk developments and multiple exploration prospects with the potential to deliver meaningful reserves/resources growth. The Company operates all of its licences and has 2P reserves of 48 MMbbl. Trinity is listed on the AIM market of the London Stock Exchange under the ticker TRIN.LN.