Baku, Azerbaijan, Nov. 6
By Maksim Tsurkov – Trend:
Greenfields Petroleum Corporation has prolonged the loan agreement on allocation of funds for the development of Azerbaijan’s Bahar-Gum Deniz block of oil and gas fields on the Caspian Sea and financing the activity of Bahar Energy Ltd for the 12th time, the company told Trend Nov. 6.
Greenfields Petroleum Corporation is a co-owner of Bahar Energy, which is an operator of the Bahar-Gum Deniz offshore block, and also acts as a technical consultant.
“The payback period on the loan agreement, signed on November 25, 2013, is prolonged until January 15, 2020. As of Nov. 1, the main restructured amount of the loan totals almost $47.15 million. Three percent out of this amount will be paid until Nov. 1, 2018,” said the company. “Refinancing and permanent support of creditors and big shareholders are positively reflected in the company’s prospects.”
The prolongation of the agreement will provide the company with additional resources for the development of work to eliminate flooding of wells and deeper opportunities of gas production as part of the Bahar project, added the company.
Azerbaijan’s state oil company SOCAR signed a PSA in 2009 with Bahar Energy Ltd. for exploration, rehabilitation, development and extraction at the Bahar-Gum Deniz block.
An 80-percent stake in Azerbaijan’s Bahar Energy Ltd Operating Company is owned by the US Greenfields Petroleum Corporation and a 20-percent stake – by SOCAR.
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