UK-listed oil and gas production and exploration company Ascent Resources said
on Tuesday it has secured with Henderson Global Investors Limited a 7 million
British pound ($10.9 million/9.7 million euro) loan facility to help fund the
development stage of the Petisovci tight gas project in Slovenia.
The
loan, which can be drawn at any time from signing to June 30, 2016 at the
discretion of Henderson, accrues interest at the rate of 7.5% per annum on the
amount drawn and this is added to the amount of the loan.
When combined
with suitable project finance, which the company's board is hopeful can be
finalised shortly, Ascent Resources will have at its disposal all the funds
required to take the project to first gas, the firm said in a
statement.
"I am very pleased that we have succeeded in securing this
facility, which provides the company with access to significant new funds. This
underpins the company's ability to move the Petisovci project forward with a
view to early gas production," Ascent Resources CEO Leonard Reece
said.
Henderson and its associates are substantial shareholders in
Ascent, holding 10.7% of the company's issued share capital.
The
Petisovci project lies in the northeastern corner of Slovenia between Hungary
and Croatia. Ascent is the operator and its joint venture partner on the
project, Slovenia's Geoenergo, is the concession holder. Based on the regional
3-D seismic, the project area contains substantial tight gas reserves as well as
shallower conventional oil and gas.