Business
Senior Facility Expansion and asset value increase
Senior Facility Expansion and asset value increase.
About this update from Buccaneer Energy Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 1509G\n Nostra Terra Oil & Gas Company PLC\n 28 March 2022\n \n \n \n \n \n \n \n \n \n \n 28 March 2022\n \n \n \n \n \n \n Nostra Terra Oil and Gas Company Plc\n \n \n \n \n (\"Nostra Terra\" or \"the Company\")\n \n \n \n \n \n \n \n \n \n $10 Million Senior Facility Expansion\n \n \n \n \n and a\n \n \n \n \n Substantial Corporate Asset Value Increase \n \n \n \n \n \n \n Nostra Terra (AIM: NTOG),\n the international oil & gas exploration and production company with a portfolio of production and development assets in Texas, USA,\n \n is pleased to announce a significant expansion its Senior Lending Facility (\"Senior Facility\" or \"Facility\"), along with a significant increase in the Company's asset value. \n \n \n \n \n \n \n \n \n Highlights\n \n \n \n \n \n Senior Facility\n \n \n · \n Borrowing Base Increase to $3,350,000 (from $2,350,000), up 43% increase from 1 September 2021\n \n \n · \n Interest Rate: 4.40% (no change)\n \n \n \n \n \n Reserves & Valuation\n \n \n · \n 2,148,090 gross barrels oil (1,073,960 net barrels oil) proven reserves, a 10% increase from 1 September 2021\n \n \n · \n Future Net Income: $32,426,450 (total proved), a 37% increase from 1 September 2021\n \n \n · \n NPV10: $14,632,340 (total proved), a 39% increase from 1 September 2021\n \n \n \n \n \n \n \n \n Senior Facility & Corporate Valuation\n \n \n The Company has received a large increase in the borrowing base, providing it with access to additional non-dilutive capital which is available to supplement cash flow from operations, to further its growth plans. \n \n \n \n \n \n Estimated Future Net income has increased by 37% whilst Net Present Value (10% discount rate) has increased by 39%. The Borrowing Base of the $10,000,000 Senior Facility has been increased to US$3,350,000 based on improved production and cashflow during first half of 2021. The previous borrowing base was US$2,550,000, hence an additional US$1,000,000 is available for utilisation.\n \n \n \n \n \n The size of the Facility and Borrowing Base will continue to be reassessed at least twice yearly. The Board anticipates the Facility and Borrowing Base will continue to expand as the Company's production, cashflows and reserves increase. The cur...