Zenith Energy Ltd Debt reduction, amendment of terms and warrants (3788W)
23 April 2021 - 4:00PM
UK Regulatory
TIDMZEN
RNS Number : 3788W
Zenith Energy Ltd
23 April 2021
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES
OF REGULATION 11 OF THE MARKET ABUSE (AMENDMENT) (EU EXIT)
REGULATIONS 2019/310.
April 23, 2021
ZENITH ENERGY LTD.
("Zenith" or the "Company")
Debt reduction, amendment of terms and issue of warrants
Zenith Energy Ltd. ("Zenith" or the "Company") (LSE: ZEN; OSE:
ZENA), the listed international oil & gas production company
focused on pursuing African development opportunities, is pleased
to announce that it has reduced its liabilities, extended the
maturity date of two existing loans and issued share purchase
warrants to certain lenders of the Company.
Debt Reduction
On February 14, 2020, the Company announced that, in relation to
its US$2.5 million convertible loan facility (the "Facility") it
had reduced its liability to US$1.05 million.
The Company is pleased to confirm that, following recent
repayments, the current liability in relation to the Facility
stands at US$0.7 million.
As last announced on January 6, 2021, the Company had an
outstanding credit agreement with a financial institution in
Azerbaijan for an amount US$54,650.00 plus accrued interest payable
by June 30, 2021.
The Company is pleased to confirm that this liability has now
been reduced to a total amount of US$25,000.
Loan Extensions
The Company confirms that it has amended the terms of the US$2.5
million convertible loan facility and of an existing revolving
credit line, extending the current repayment terms.
Issue of Warrants
In connection with these loan extensions, Zenith has issued:
-- 45,000,000 share purchase warrants exercisable at NOK 0.12
(approximately GBP0.01) per common share payable in full in cash on
subscription, and expiring within six months from the date of
issue; and,
-- 13,593,113 share purchase warrants to the lenders exercisable
at NOK 0.156 (approximately GBP0.013) per common share payable in
full in cash on subscription expiring three years from the date of
issue.
Andrea Cattaneo, Chief Executive Officer of Zenith,
commented:
"We are always seeking to improve our balance sheet by reducing
our debt exposure, specifically to convertible loan facilities.
The Board believes the Company shall soon be able to settle all
outstanding convertible debt instruments in the event it
successfully completes and develops the recently announced
acquisitions which have the potential to transform the Company's
revenue position and profitability in the current oil price
environment."
Zenith Energy Ltd
Andrea Cattaneo, Chief Executive Officer Tel: +1 (587) 315 9031
-----------------------------
E-mail: info@zenithenergy.ca
-----------------------------
Allenby Capital Limited - Financial
Adviser & Broker
-----------------------------
Nick Harriss Tel: + 44 (0) 203 328
Nick Athanas 5656
-----------------------------
Further Information:
Notes to Editors :
Zenith Energy Ltd. is an international oil and gas production
company, listed on the London Stock Exchange (LSE:ZEN) and the
Euronext Growth Market of the Oslo Stock Exchange (OSE:ZENA).
Zenith's development strategy is to identify and rapidly seize
value-accretive hydrocarbon production opportunities in the oil
& gas sector, specifically in Africa.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCXLLLLFZLLBBQ
(END) Dow Jones Newswires
April 23, 2021 02:00 ET (06:00 GMT)
Zenith Energy (LSE:ZEN)
Historical Stock Chart
From Apr 2024 to May 2024
Zenith Energy (LSE:ZEN)
Historical Stock Chart
From May 2023 to May 2024