Credit Facility Increase

10 Mar 2008 07:02

Max Petroleum PLC10 March 2008 Max Petroleum Plc ("the Company") Mezzanine Credit Facility Borrowing Base Increased to US$50 Million 10 March 2008 Max Petroleum Plc, an oil and gas exploration and development company focused onKazakhstan, announces today that the borrowing base of its revolving creditfacility with Macquarie Bank Limited ("Macquarie") has been increased from US$20million to US$50 million. The Company can utilise the facility to fund itsexploration and development activities within Kazakhstan. In conjunction withthe borrowing base increase, Max Petroleum issued to Macquarie a warrant tosubscribe for up to 15 million new ordinary shares in the Company at any timeduring the five year period ending 6 March 2013 at an exercise price of 75p pershare. Mark Johnson, Chief Executive Officer, commented: "The increased borrowing base of the Macquarie debt facility provides us withthe flexibility to fully explore farm-out and external financing alternatives inorder to maximise shareholder value during the Company's long-term explorationprogramme in Blocks A&E and Astrakhanskiy." Enquiries: Max Petroleum Plc Mark L. Johnson Tel: +44 (0)20 7355 9590 Chief Executive Officer Michael Young Tel: +44 (0)20 7355 9590 Chief Financial Officer Peter Moss, Tel: +44 (0)78 3457 2837 Investor Relations Manager Merlin PR Tom Randell / David Simonson Tel: +44 (0)20 7653 6620 WH Ireland Ltd Daniel Bate / David Youngman Tel: +44 (0)161 832 2174 This information is provided by RNS The company news service from the London Stock Exchange