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Africa Oil Announces Favorable Prime RBL Redetermination
Africa Oil Announces Favorable Prime RBL Redetermination Canada NewsWire VA...
About this update from Meren Energy Inc.
[{"type":"text","content":"AfricaOil-PrimeRBL\n \n \n \n Africa Oil Announces Favorable Prime RBL Redetermination\n \n \n /* Style Definitions */\nspan.prnews_span\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\na.prnews_a\n{\ncolor:blue;\n}\nli.prnews_li\n{\nfont-size:8pt;\nfont-family:\"Arial\";\ncolor:black;\n}\np.prnews_p\n{\nfont-size:0.62em;\nfont-family:\"Arial\";\ncolor:black;\nmargin:0in;\n}\n \n \n \n \n \n \n Canada NewsWire\n \n \n VANCOUVER, BC, Oct. 1, 2020\n \n \n \n \n \n VANCOUVER, BC\n \n ,\n \n Oct. 1, 2020\n \n /CNW/ -\n \n \n (TSX: AOI) (Nasdaq-Stockholm: AOI)\n \n –\n \n Africa Oil Corp. (\"AOI\", \"Africa Oil\" or \"the Company\") is pleased to provide an update on Prime Oil & Gas B.V. (\"Prime\") Reserve Base Lending facility (\"RBL\"). Africa Oil has a 50% shareholding in Prime, a company with deepwater producing assets offshore\n \n Nigeria\n \n .\n \n View PDF version\n \n \n \n The September redetermination of the Prime RBL has been approved by the banking syndicate with a total principal amortisation for 2020 of\n \n US$522 million\n \n . This is\n \n US$108 million\n \n less than management's initial guidance of\n \n US$630 million\n \n as announced on\n \n February 25\n \n \n th\n \n , 2020.\n \n \n As a result of this outcome and Prime's large cash surplus, Prime with the support of its shareholders has elected to repay and cancel\n \n US$297 million\n \n of the RBL principal on\n \n September 30\n \n \n th\n \n , 2020, which will satisfy the scheduled repayments for the third and fourth quarters of 2020. The early settlement of the fourth quarter repayment will result in\n \n US$2 million\n \n of savings in interests and fees during the next three months. Prime is not expected to make any further principal repayment until the results of the next RBL redetermination scheduled to be finished on 31\n \n st\n \n \n March 2021\n \n . The outstanding RBL principal amount now stands at\n \n US$1,303 million\n \n .\n \n \n Africa Oil is also pleased to confirm that Prime has sold all three planned oil cargoes in\n \n September 2020\n \n for a combined sales volume of approximately 2.8 million barrels (\"mmbbl\") (1.4 mmbbl net to Africa Oil's 50% shareholding in Prime) at an average price of\n \n US$60\n \n per barrel. A further three cargoes scheduled for the fourth quarter 2020 (approximately 3.0 mmbbl or...