Matra Petroleum AB (“Matra”) and companies controlled by Melody Capital Partners, LP (“Melody”) has signed a letter of intent according to which Matra is to acquire 22 oil and gasrättigheter with proved reserves of approximately 4.0 million barrels of oil equivalent and a current production of about 100 barrels of oil equivalent per day in the Texas Panhandle, USA. The purchase price amounts to usd 6,2 through the takeover of loans and a directed share issue to the Melody. Melody will, in addition, provide up to usd 10 million in additional funding for the Matras drilling and development program in 2018.
The producing assets to be acquired from the Melody is located in the Panhandle region of Texas. Matra Petroleum USA, Inc. currently operates the assets under a operatörsavtal with the Melody. As payment for the acquisition will Matra to take over the existing loan of MUSD 4 and carry out a directed share issue to the Melody of MUSD 2.2 in.
The existing loan agreement between Matra Petroleum USA, Inc. and the Melody will be changed to increase the current låneåtagandet with up to USD 10 million upon completion of the agreed transactions. The funds will be used for drilling and the expansion of the Matras of existing assets and the oil and gasrättigheter to be acquired from the Melody.
“We are expanding our cooperation with the Melody, which becomes a significant shareholder in Matra. Through this transaction we will add proved reserves, potential for development and the additional cash flow from existing production from the assets which we are well familiar with. In addition, we will secure funding to continue our successful drilling and development program in the Texas Panhandle,” said Maxim Barskiy, CEO, Matra Petroleum AB
The agreement is subject to binding agreement with customary terms and conditions for transactions and credit facilities of this kind, and the obtaining of relevant approvals and amendments under the existing credit agreement. Binding agreement and implementation of the transactions is expected to take place during march and april 2018, which emissionsvillkor for the targeted rights issue will be determined.
For further information, please contact the
Maxim Barskiy, CEO of Matra Petroleum AB
Tel: +46 (0)8 611 4995
This information is such information that Matra Petroleum AB is obligated to publish under the EU marknadsmissbruksförordning. The information was submitted, by the above contact person in the government, for publication on 14 march 2018 there is a 10:15 CET.
About Matra Petroleum
Matra Petroleum AB is an independent oil and gas company focused on exploration and production in the united states. The company owns, through a wholly owned subsidiary of Matra Petroleum Inc. 130 oil and gasrättigheter that covers a surface of about 15 435 hectares (38 140 acres) in the Panhandle region of Texas. Matras reserves amount to 21.0 million barrels of oil equivalent. Matra Petroleum’s shares are traded on NASDAQ First North in Sweden under the tickerkod MATRA. Mangold Fondkommission AB is the Certified Adviser (www.mangold.se, Tel: +46 (0)8 50 30 1550). For more information, see www.matrapetroleum.com.
About Melody Capital Partners
Melody Capital Partners is a private investment firm with a unique strategy of creating financing solutions in partnership with borrowers. Melody has over $1.5 billion in capital and focuses on senior secured loan origination and direct lending in North America. For more information on Melody Capital Partners, please visit www.melody.com.
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Matra Petroleum AB via Globenewswire