Business
Agreement Signed
Agreement Signed.
About this update from Aminex Plc
[{"type":"text","content":"\n AMINEX PLC\n27 September 1999\n\n AMINEX SIGNS FINANCING AGREEMENT WITH\n MCALESTER FUEL COMPANY\n\nAminex PLC, the London and Dublin listed oil and gas company, announces that\nits wholly owned subsidiary Aminex USA Inc has entered into a participation\nagreement with a group of investors in Europe and the USA led by the McAlester\nFuel Company of Houston ('the investor group'). The investor group has agreed\nto fund ten initial wells commencing in October 1999 and has an option to fund\nan additional thirty wells in Aminex USA Inc.'s proposed exploration and\ndevelopment drilling programme through to the end of 2000 in the onshore Gulf\nCoast area of Texas and Louisiana.\n\nAminex has generated a large number of new drilling prospects as a result of a\nmajor 3D seismic acquisition programme on previously held acreage and the more\nrecent acquisition of properties from Unexco Inc announced to shareholders in\nApril this year. The wells will be drilled on a number of different prospects\nwith varying net revenue interests, drilling costs and geological objectives.\nAll these prospects have been defined by 3D seismic technology.\n\nUnder the terms of the agreement the investor group will earn a revenue stream\nequivalent to half Aminex's net revenue interest in each case, with no further\nrecourse to Aminex in the event that drilling efforts are unsuccessful. The\nwide spread of wells proposed is expected to result in a material increase in\nproduction and reserves. The currently estimated cost of the initial ten\nwells, which may be subject to changes as the drilling programme progresses,\nis $11 million.\n\nCommenting on the announcement, Aminex Chairman, Peter Elwes said:\n\n'Having acquired an impressive inventory of exploration and development\nprospects on favourable terms during 15 months of low oil prices, I am\nconfident that this financing agreement with the investor group will allow us\nto exploit fully the potential in these areas of Texas and Louisiana. The\ncommencement of this programme next month represents a major increase in the\nscale and diversity of Aminex's US operations.'\n\nFor further information:\n\nBrian Hall Aminex PLC 0171 240 1600\nAntonio Prado Aminex Inc PLC 001 210 545 0429\nJohn Evans Gavin Anderson & Company 0171 457 2345\n ","length":2404,"tagName":"div"}]