Trapoil, the independent oil and gas exploration and appraisal company focused on the UK Continental Shelf (“UKCS”) region of the North Sea, confirms that on 21st December 2012 it completed the previously announced acquisition of a 15 per cent. working interest in the Athena Oil Field (“Athena”) from Dyas UK Limited (“Dyas”). Completion followed delays caused by securing partner approvals.
Parties agreed to adjust the base consideration downwards from £34.5m to £31.8m.
The final payment to Dyas (reflecting, in addition to the revision to consideration, adjustments for net cash flows since the effective date of 1st January 2012, a reduction of £3.3m to the capex payable by Trapoil and the deposit of £3 million paid on exchange of contracts) was £18.9 million.
This has been satisfied from the Company’s existing cash resources, which prior to completion stood at £27 million.
Mark Groves Gidney, Chief Executive Officer of Trapoil , commented:
“We are pleased to have completed the acquisition of Athena on satisfactory terms. The field will generate significant cash flow and provide valuable tax shelter for our drilling programme. Trapoil now has a secure base from which to progress with its objective of adding value through exploration and appraisal activity in the North Sea.”
[mappress] Press Release , December 23, 2012