Azerbaijan, Baku, June 29 / Trend E. Kosolapova/
Kazakh subsidiary of Tethys Petroleum Limited has reached an agreement on a $16.5 million loan facility, the company reported on Friday.
This facility is provided by a Kazakh bank to Tethys Aral Gas, a wholly owned Kazakh subsidiary of Tethys, and is available to fund capital expenditures in Kazakhstan. It can be drawn down at any time but the company is under no obligation to do so.
This facility has a term of up to four years depending on the company's requirements and bears an interest rate of 14 percent per annum on sums drawn down. It is to be secured against field facilities in Kazakhstan. An initial $3.5 million of this facility has been drawn down.
Tethys Petroleum Limited is an oil and gas exploration and production company currently focused on Central Asia with projects in oil-rich Kazakhstan, Tajikistan and Uzbekistan. It is the only independent oil and gas company operating in all three countries.