RNS Number : 2246R
Lekoil Limited
25 October 2019
25 October 2019
LEKOIL Limited
("LEKOIL" or the "Company")
New Debt Facility with FBNQuest Merchant Bank
LEKOIL (AIM: LEK), the oil and gas explora on and development company with a focus on West Africa, announces today the signing of a new US$11.5 million debt facility.
LEKOIL Oil & Gas Investments Limited, a wholly owned subsidiary of LEKOIL Nigeria Limited, has signed an agreement for a new US$11.5 million debt facility with FBNQuest Merchant Bank ("FBNQuest") (the "Facility"). The Company has agreed to guarantee the obligations of Lekoil Oil & Gas Investments Limited pursuant to the Facility.
The Facility has a maturity of four years and is repayable quarterly with a margin of LIBOR + 10%. The Facility will be used primarily to pay all outstanding quarterly repayments (including principal and interest) due to Shell Western Supply and Trading Limited and payment of the license/lease extension fees on OPL 276 (as announced on 23 August 2019) and OPL 310 (US$7.5 million due by 31 October 2019).
The Company expects to draw down on the Facility as needed, which has no pre-payment penalty.
Lekan Akinyanmi, LEKOIL's CEO, said,"I am delighted that we have agreed to this addi onal facility with FBNQuest, a key local lender in Nigeria. This facility provides us with increased flexibility at a cost of capital in-line with our exis ng facilities. We appreciate FBNQuest's support and appreciate our growing long-term relationship with them."
For further information, please visit www.lekoil.comor contact:
LEKOIL Limited | ||
Alfred Castaneda, Investor Relations | +44 | 20 7920 3150 |
Strand Hanson Limited (Financial & Nominated Adviser) | ||
James Spinney / Ritchie Balmer / Eric Allan | +44 | 20 7409 3494 |
Mirabaud Securities Limited (Joint Broker) | ||
Peter Krens / Edward Haig-Thomas | +44 | 20 7878 3362 / +44 20 7878 3447 |
Numis Securities (Joint Broker) | ||
John Prior / Emily Morris | +44 | 20 7260 1000 |
Tavistock (Financial PR) | ||
Simon Hudson / Barney Hayward / Nick Elwes | +44 | 20 7920 3150 |
The informa on contained within this announcement is deemed by the Company to cons tute inside informa on as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ("MAR").
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Lekoil Ltd. published this content on 25 October 2019 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 25 October 2019 16:00:01 UTC