Trinidad Update - FRAM Loan

RNS Number : 5586B

Predator Oil & Gas Holdings PLC

03 October 2022

 

FOR IMMEDIATE RELEASE

3 October 2022

  Predator Oil & Gas Holdings Plc / Index: LSE / Epic: PRD / Sector: Oil & Gas

  LEI 213800L7QXFURBFLDS54

Predator Oil & Gas Holdings Plc

("Predator" or the "Company" and together with its subsidiaries "the Group")

Trinidad Update - FRAM Loan

Predator Oil & Gas Holdings Plc (LSE: PRD), the Jersey based Oil and Gas Company with near-term gas operations focussed on Morocco, announces that further to its announcement of 7 June 2022 outlining the Company's position regarding the FRAM Loan it has now reviewed the Interim Financial Statement for the 6 months ending 30 June 2022 and the Annual Report and Financial Statements for the year ended 31 December 2021 released by Challenger Energy Group Plc ("Challenger") on 30 September 2022.

The Company notes that there is no reference to the FRAM Loan in the audited Financial Statements for the year ended 31 December 2021.

The Company notes references in the Annual Report and Financial Statements for the year ended 31 December 2021  to a "CO2 enhanced oil recovery pilot project undertaken in 2020 and 2021" in Inniss-Trinity and that "one of the Group's licences was extended to 31 March 2022 (and, subsequently to 30 June 2022 and then 30 September 2022) to allow for ministerial approval required for the finalisation and execution of the agreed form of the documentation in relation to a fresh enhanced production services contract ("EPSC") with 30 September 2031 expiry. The EPSC will include certain minimum work obligations comprising CO2 pilot project….."

The Company notes that there is no explanation offered as to why the Chief Executive officer of FRAM Exploration Trinidad Ltd. ("FRAM"), FRAM's parent company, himself, as an executive director of Challenger, unilaterally terminated the Inniss-Trinity CO2 EOR Pilot Project giving only 24 hours' notice.

Correspondence between FRAM's previous parent company, Columbus Energy Resources Plc, gave certain undertakings regarding the FRAM Loan to enable the Inniss-Trinity pilot CO2 EOR project to be progressed. Challenger is a Successor to CERP following the acquisition of Columbus Energy Resources Plc by Challenger Energy Group Plc.

The Company's position remains unchanged in respect of the FRAM Loan as outlined in its RNS dated 7 June 2022.

The Company determines that there is an option to resolve the issues between the Company and Challenger through collaboration based on certain information stated in the Annual Report and Financial Statements for the year ended 31 December 2021.

However if this option cannot be progressed then the Company will have no alternative but to continue with its legal process which, based on the published Challenger Interim Financial Statements for the 6 months ending 30 June 2022 and the Annual Report and Financial Statements for the year ended 31 December 2021, can now focus on the key issue.   

For further information visit www.predatoroilandgas.com

Follow the Company on twitter @PredatorOilGas.

This announcement contains inside information for the purposes of Article 7 of the Regulation (EU) No 596/2014 on market abuse

For more information please visit the Company's website at  www.predatoroilandgas.com : 

Enquiries:

Predator Oil & Gas Holdings Plc Paul Griffiths  Executive Chairman Lonny Baumgardner  Managing Director	Tel: [phone] [e-mail]
Novum Securities Limited Jon Belliss Optiva Securities Limited Christian Dennis	Tel: [phone] Tel: [phone]
Flagstaff Strategic and Investor Communications Tim Thompson  Mark Edwards Fergus Mellon	Tel: [phone] [e-mail]

Notes to Editors: 

Predator is operator of the Guercif Petroleum Agreement onshore Morocco which is prospective for Tertiary gas in prospects less than 10 kilometres from the Maghreb gas pipeline.  The MOU-1 well has been completed and a follow-up testing programme is being finalised to coordinate with a further drilling programme beginning in 2022.

Predator is seeking to further develop the remaining oil reserves of Trinidad's mature onshore oil fields through the application of CO2 EOR techniques and by sequestrating anthropogenic carbon dioxide to produce "greener" oil.

In addition, Predator also owns and operates exploration and appraisal assets in licensing options offshore Ireland, for which successor authorisations have been applied for, adjoining Vermilion's Corrib gas field in the Slyne Basin on the Atlantic Margin and east of the decommissioned Kinsale gas field in the Celtic Sea.

Predator has developed a Floating Storage and Regasification Project ("FSRUP") for the import of LNG and its regassification for Ireland and is also developing gas storage concepts to address security of gas supply and volatility in gas prices during times of peak gas demand.

The Company has a highly experienced management team with a proven track record in operations in the oil and gas industry.

 

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