Extension of $25m Credit Facility

RNS Number : 8071J

Nostra Terra Oil & Gas Company PLC

22 December 2015

 

AIM:NTOG                                                                                        22 December 2015

Nostra Terra Oil and Gas Company plc

("Nostra Terra" or the "Company") 

Extension of US$25 Million Credit Facility

Nostra Terra (AIM:NTOG), the oil and gas exploration and production company with a growing portfolio of assets in the USA and Egypt,‎ is pleased to announce that Texas Capital Bank has agreed to a three year extension of the lending facility until 31 January 2019.

The Facility contains both a three year Revolving Credit Facility and a Standby Letter of Credit Facility with an initial nominal limit of US$25 million. Interest is charged on monies drawn down at the current rate of 4.25% (determined by the higher of either: the sum of the Wall Street Journal Rate plus 1% or 4.25%). 

Texas Capital Bank is a highly regarded energy lender based in Dallas Texas, with over US$11 billion in assets under management.

Nostra Terra will use the facility to grow its asset base with a focus on producing assets. 

Matt Lofgran, Chief Executive Officer of Nostra Terra, commented:

"We're pleased to announce the securing of a three year extension on such a strong facility on very good terms for the Company at a time when many companies in the industry are struggling with the continued low oil price environment. We will use the facility to expand our portfolio in the USA as attractive opportunities present themselves.

We see the drop in oil prices as an opportunity to acquire assets at attractive levels.  Our focus is on producing assets where we can use leverage and we are currently performing due diligence and negotiating on new assets and anticipate an increased level of activity into 2016."‎

For further information, visit www.ntog.co.uk or contact:

Nostra Terra Oil and Gas Company plc

Matt Lofgran, CEO

[e-mail]                                                   Telephone: [phone]

Sanlam Securities UK Limited

(Nominated adviser and broker)

Lindsay Mair / James Thomas / Jamie Vickers        Telephone: [phone]

Walbrook PR

Gary Middleton                                                              Telephone: [phone]

Nick Rome

 

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