Business
Islandmagee signs new EU Grant Agreement
Islandmagee signs new EU Grant Agreement.
About this update from Sunda Energy Plc
[{"type":"text","content":"\n \nRNS Number : 8282C Baron Oil PLC 30 June 2016 \n\n30 June 2016\n \nBaron Oil plc\n(\"Baron\" or the \"Company\")\n \nIslandmagee signs new EU Grant Agreement\n \nThe Board of Baron (AIM:BOIL) notes the announcement released today by InfraStrata plc (\"InfraStrata\") regarding the conclusion of a grant agreement with the European Commission for its Islandmagee gas storage project in County Antrim, Northern Ireland. Baron signed a Convertible Loan Facility Agreement with Infrastrata with respect to the Islandmagee gas storage project in May 2015. As announced on 25 May 2016 Baron has an option until 31 March 2017 (or until the loan is repaid if that is earlier) to convert the loan balance into a 15% equity participation in the share capital of InfraStrata's subsidiary, Islandmagee Storage Limited (the owner of the gas storage project). The InfraStrata announcement is repeated in full below:\n \n \n\"InfraStrata plc (AIM:INFA), the independent petroleum exploration and gas storage company, is pleased to announce it has now concluded a grant agreement with the European Commission under the Connecting Europe Facility (\"CEF\") for 50%, up to a maximum of €4.024 million, of the costs associated with the Front End Engineering & Design (\"FEED\") for its Islandmagee gas storage project (the \"Project\") under development in County Antrim, Northern Ireland.\n \nThe Project is being developed in a joint venture between InfraStrata (65%) and local energy infrastructure company Mutual Energy Limited (\"MEL\") (35%).\n \nThe Company is working with MEL and advisers, as part of an ongoing process announced in March 2016, to secure the new investors who will take this strategically important project through to a Final Investment Decision, targeted for 2017.\n \nThe Company is focused on delivering the best outcome for its shareholders by securing new investors over the summer months to enable the FEED to proceed as programmed and to meet other project commitments as they fall due, including land option payments, adviser and project management costs. Discussions are ongoing with interested parties and further updates will be provided as appropriate.\n \nThe Company is focused on delivering the best outcome for its shareholders by securing new investors over the summer months to enable ...