Bahamas Petroleum Company PLC Licence Update (0111A)
March 21 2017 - 3:01AM
UK Regulatory
TIDMBPC
RNS Number : 0111A
Bahamas Petroleum Company PLC
21 March 2017
21 March 2017
Bahamas Petroleum Company plc
("Bahamas Petroleum" or the "Company")
Licence Update
Bahamas Petroleum Company, the oil and gas exploration company
with a significant prospective resource in licences in The
Commonwealth of The Bahamas is pleased to provide the following
update on various activities.
Licence Extension
In June 2015 the Government of The Bahamas renewed the Company's
four southern licences, for a second three year exploration term.
The Company's principal work obligation under the renewal was to
commence activity on an initial exploration well by April 2017.
The Government of The Bahamas has today extended the time for
the performance of the obligations and requirements of BPC under
its Licence Renewals for a further period of 12 months, as applies
to its four co-joined southern licences. The impact of the above is
that the Company will now not be obliged to commence activity on an
initial exploration well until April 2018.
Farm-Out
The Company is singularly focussed on commencing responsible and
safe drilling operations as soon as possible, and to this end
remains in advanced discussions with various potential funding and
operating partners. The Company considers that the licence
extension provided by The Government will be an important
consideration in further advancing these discussions.
Cash Position
The Company closed the end of 2016 with a freely available cash
balance of approximately $1 million and a reserved cash position of
an additional $0.5 million, retained by the Company's bank in the
form of a performance bond issued in 2015 as part of the Licence
Renewal, which will revert to the Company during 2017 (the Company
has satisfied the relevant obligations this bond secured).
The Company has previously announced various cost saving
measures, including that the Board and senior management have
agreed to certain fee and remuneration deferrals, so as to preserve
cash resources through any extended farm-out process. These cost
saving measures and deferrals will continue until such time as
future funding is secured.
As such, the Company's ongoing overheads are minimised, and the
Board considers the Company has sufficient financial resources to
take it through the conclusion of the farm out process.
- Ends -
For further information, please contact:
Bahamas Petroleum Company plc Tel: +44 (0)
Simon Potter, Chief Executive 1624 647 882
Officer
Strand Hanson Limited - Nomad Tel: +44 (0)
Rory Murphy / James Spinney 20 7409 3494
CAMARCO Tel: +44 (0)
Billy Clegg / Gordon Poole 20 3757 4983
Notes to editors:
Bahamas Petroleum Company is an oil and gas exploration company
with 100% owned offshore licences exclusively focused on the
Commonwealth of The Bahamas. The Company has significant
prospective resources, which have been de-risked through both
extensive 2D and 3D seismic. The four Southern Licences, with a
newly agreed well obligation date of April 2017, run until 2Q 2018
when the licences may be renewed a further two times. The Company
is intent on delivering safe and environmentally responsible
exploration.
www.bpcplc.com
This information is provided by RNS
The company news service from the London Stock Exchange
END
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