Challenger Energy Group PLC (AIM:CEG, OTC:BSHPF) and Predator Oil have agreed to extend the deadline to complete a deal for the Cory Moruga asset, onshore Trinidad, as they continue work towards regulatory approval.
In March, Challenger agreed to sell its 83.3% interest in the licence to Predator and the deal was subject to the Trinidad Ministry of Energy and Energy Industries (MEEI) agreeing to a revised work programme, a revision of future fees and a cancellation of past claims relating to the licence.
“The parties have worked together as required, and are engaged in a dialogue with MEEI. This is proceeding well, but the conditions for completion of the transaction have not been satisfied as at 30 May 2023,” Challenger noted in a statement.
“The parties remain confident, however, that appropriate consents and agreement with MEEI will be forthcoming based on dialogue with MEEI.”
A new long-stop deadline of 31 August has been agreed.
The licence was deemed as non-core to Challenger. The transaction will represent a gross potential value proposition to Challenger Energy of up to US$9mln, of which up to US$3mln will be cash.