Cardinal Resources plc
26 July 2006
CARDINAL RESOURCES PLC ANNOUNCES AMENDMENT TO SILVER POINT CAPITAL
INTEREST PAYMENTS
LONDON - Wednesday, 26th July 2006
Cardinal Resources plc (AIM:CDL) ('Cardinal' or 'the Company'), an independent
oil and gas production and exploration company operating in Ukraine, today
announces an amendment to its interest rate payments with Silver Point Capital
(SPC).
In December 2005, the Company announced a $38 million two-year bridge facility
with SPC with a coupon rate of 15% per annum in the first six months, rising to
20% per annum and then another 1% per annum for every quarter thereafter until
maturity, payable quarterly in cash or with payment-in-kind notes. Subject to
any necessary shareholder and regulatory approvals required, it is still
intended that the $38 million facility will be replaced with a five-year senior
PIK note facility. Pending receipt of such approvals and until further notice,
SPC has confirmed that it will vary the terms of the earlier agreement and
continue to charge a lower interest rate of 15% per annum.
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For further information please contact:
Cardinal Resources Parkgreen Communications
Kate Spiro Justine Howarth / Victoria Thomas
+44 (0) 20 7936 5258 +44 (0) 20 7493 3713
kspiro@cardinal-uk.com victoria.thomas@parkgreenmedia.com
Notes to Editor
Cardinal Resources plc
Cardinal Resources plc is an independent oil and gas company engaged in the
acquisition, development, production and exploration of oil and natural gas
properties in Ukraine. Cardinal is an experienced operator in the country
focused on expanding its existing operations through the farm-in or acquisition
of additional upstream oil and gas assets that can be further developed through
the application of modern technology and expertise.
This release may contain certain forward-looking statements. These statements
relate to future events or future performance and reflect management's
expectations regarding Cardinal's growth, results of operations, performance and
business prospects and opportunities. Such forward-looking statements reflect
management's current beliefs, are based on information currently available to
management and are based on reasonable assumptions as of this date. No
assurance, however, can be given that the expectations will be achieved. A
number of factors could cause actual results to differ materially from the
projections, anticipated results or other expectations expressed in this
release. While Cardinal makes these forward-looking statements in good faith,
neither Cardinal, nor its directors and management, can guarantee that the
anticipated future results will be achieved.
This information is provided by RNS
The company news service from the London Stock Exchange