Business
Africa Oil Announces the Receipt of $75 Million Prime Dividend, Debt Repayment and Positive Prime RBL Update
Africa Oil Announces the Receipt of $75 Million Prime Dividend, Debt Repayment and Positi...
About this update from Meren Energy Inc.
[{"type":"text","content":"\n \n \n \n Africa Oil Announces the Receipt of $75 Million Prime Dividend, Debt Repayment and Positive Prime RBL Update\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 \n \n \n VANCOUVER, BC\n \n ,\n \n Sept. 30, 2021\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 announce that it has received a substantial dividend from its investee company, Prime Oil and Gas Cooperatief UA (\"Prime\"). Prime also has successfully completed the\n \n September 2021\n \n semi-annual redetermination of its reserves-based lending (\"RBL\") facility.\n \n View PDF\n \n \n \n Prime has distributed a\n \n $150 million\n \n dividend with a net payment to Africa Oil of\n \n $75 million\n \n related to its 50% shareholding. The Company has applied the full amount of\n \n $75 million\n \n received, to reduce the outstanding balance of its corporate loan facility (\"Corporate Facility\") to\n \n $23 million\n \n . Africa Oil has an approximate cash balance of\n \n $39 million\n \n and a positive net cash balance of\n \n $16 million\n \n , as of\n \n September 29, 2021\n \n . The Corporate Facility has a three-year term from\n \n May 2021\n \n and provides Africa Oil with an undrawn availability of\n \n $62 million\n \n , until\n \n May 2022\n \n and can be utilised for general corporate purposes, subject to customary covenants.\n \n \n Prime also has successfully completed its\n \n September 2021\n \n semi-annual RBL redetermination with its lending group. Total principal repayment for 2021 has been determined at\n \n $436 million\n \n with\n \n $189 million\n \n already repaid during the first half of this year. Prime is expected to repay another\n \n $84 million\n \n of its outstanding RBL facility amount by end of September, reducing the outstanding balance to about\n \n $1,030 million\n \n (\n \n $515 million\n \n net to AOI). This takes Prime's total RBL repayment in the last 18 months to\n \n $795 million\n \n , representing a 43% debt reduction. Prime i...