Caspian Energy Inc. Announces Additional Funding For On-Going Exploration and Testing of Wells
(firmenpresse) - CALGARY, ALBERTA -- (Marketwired) -- 06/13/13 -- Caspian Energy Inc. ("Caspian") (TSX: CEK) is pleased to announce the signing of a number of agreements (the "Transaction Agreements") whereby its Kazakhstan subsidiary expects to be able to immediately implement the previously announced testing of certain wells based on the advice of outside consultant Mr. Roger Nutt (the "Nutt Plan") over two wells within the next 90 days. Pursuant to the Transaction Agreements, additional financing has been committed to Aral Petroleum Capital LLP ("APC"), a Kazakhstan partnership in which Caspian indirectly holds a 40% interest, to cover operating expenses, as well to Caspian to cover ongoing overhead and accounts payable. The financing will permit drilling which will allow APC to meet its 2013/14 License drilling commitments in the North Block.
The Transaction Agreements provide for the availability of a loan of US$20 million to APC for the purpose of funding APCs operations. It is intended that proceeds from this loan will, in part, be used to fund the work prescribed in the work program agreed with the Ministry of Oil and Gas in Kazakhstan. This work program envisages the drilling of a deep exploration well in the Baktygaryn and Aransay area. As well, one shallow well is planned to be drilled in Itassay.
APC has two existing wells for which testing has been approved and will commence imminently under with the Nutt Plan. Of particular note is well 316, which is to be tested first, and for which US$2 million of the above mentioned US$20 million loan has been allocated. All required approvals to test well 316 have been granted. Negotiations are underway with local contractors with a view to commencing testing in the very near future and a rig is currently available for this purpose.
The Transaction Agreements amend the loan agreement between Caspian's wholly-owned subsidiary, Caspian Energy Ltd. ("CEL"), and Asia Sixth Energy Resources Limited to allow CEL to draw US$100,000 each month from now until November and to draw an additional US$1,400,000 as early as December 28, 2013. These funds will enable Caspian to bring current all of its existing payable and to cover its budgeted operating expenses over the next 18 months.
In return for raising the financing contemplated in the Transaction Agreements, CEL's partners in APC, being Asia Sixth Energy Resources Limited ("ASER") and its subsidiary Groenzee B.V. ("Groenzee" and together with ASER, "CEL's Partners"), require CEL to transfer to them part of its ownership interest in APC resulting in CEL's interest in APC reducing from 40% to 33.5% provided CEL's Partners comply with their obligations under the Transaction Agreements.
"Clearly", Caspian Chairman and CEO William Ramsay commented, "this new arrangement places Caspian Energy Inc. in a significantly stronger position. With an improved balance sheet and new financing available for both capital expenditures and budgeted operating expenses for the next year, we will be able to return to our core business: exploring for oil. The North Block offers proven upsides, and we will now recommence those efforts by implementing the Nutt Plan over the next 90 days, and pursuing an exciting new well drilling program in 2013/14. I would like to thank all our various stakeholders for their ongoing support as we enter this critical but exciting phase".
Further to Caspian's press release of June 11, 2013, the TSX has announced that it will delist Caspian's common shares effective at the close of market on July 11, 2013 due to the TSX Continued Listing Committee's view that Caspian was not meeting the continued listing requirements of the TSX. Caspian has provided notice to the TSX that it is appealing this decision and will submit written arguments to the TSX. The TSX has encouraged on-going dialogue as Caspian moves forward with its plans and Caspian intends to pursue this. Caspian also plans to make an application for listing on NEX, subject to the outcome of its appeal to the TSX.
A summary of some of the material aspects of the Transaction Agreements follows. The material Transaction Agreements will be filed by Caspian on SEDAR at .
Sale and Purchase Agreement between CEL and Groenzee for 6.5% Participating Interest in APC
APC Loan Agreement between Groenzee (as lender) and APC (as borrower) (the "APC Loan Agreement")
Wells Testing Agreement between ASER, Groenzee and CEL
US$6,000,000 Caspian Loan Agreement between CEL (as borrower) and Groenzee (as lender) ("US$6M Caspian Loan Agreement")
Deed of Transfer and Amendment Between ASER (as Transferor), Groenzee (as Transferee) and CEL (as Borrower)
Pledge Agreement Between CEL (as Pledgor) and Groenzee (as Pledgee)
Guarantee by CEL (as Guarantor) in Favour of Groenzee (as Lender)
Subordination Deed Between APC (as Borrower), CEL (as Subordinated Lender) and Groenzee (as Senior Lender)
Investor Undertakings
Deed of Transfer between ASER (as Transferor), Groenzee (as Transferee) and APC (as Borrower)
First Supplemental Agreement to the Foundation Agreement
Second Supplemental Agreement to the Foundation Agreement
Subordination Letter from Caspian
Forward Looking Statements - Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Caspian, including, but not limited to the satisfaction of all conditions set out above, the closing of the funding of the loan agreement and the ability of Caspian to meet its future obligations with respect to APC, the impact of general economic conditions, industry conditions, currency fluctuation and dependence upon regulatory approvals. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.
Contacts:
Caspian Energy Inc.
William Ramsay
President and Chief Executive Officer
44 (0)773663 1378
Caspian Energy Inc.
Brian Korney
Chief Financial Officer
(403) 513-3375
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 13.06.2013 - 22:40 Uhr
Sprache: Deutsch
News-ID 269693
Anzahl Zeichen: 0
contact information:
Town:
CALGARY, ALBERTA
Kategorie:
Oil & Gas
Diese Pressemitteilung wurde bisher 203 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Caspian Energy Inc. Announces Additional Funding For On-Going Exploration and Testing of Wells"
steht unter der journalistisch-redaktionellen Verantwortung von
Caspian Energy Inc. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
