Challenger Energy Group PLC (AIM:CEG, OTC:BSHPF) (CEG) has confirmed the completion of its sale of the Cory Moruga licence onshore Trinidad to Predator Oil & Gas (PRD).
It comes as CEG, PRD and the Trinidadian Ministry of Energy and Energy Industries (MEEI) reached agreements on certain terms.
The deal, first announced in December 2022, saw PRD pay US$1 million in upfront cash.
PRD also pays US$1 million to MEEI to settle past dues related to Cory Moruga, meanwhile, a potential US$1 million contingent payment originally due to CEG will no longer apply, as further arrears are to be recovered by the MEEI.
CEG, meanwhile, noted that the transaction will have the effect of extinguishing various liabilities in its accounts relating to the Cory Moruga licence, amounting to approximately US$4.5 million.
Additionally, it noted that in parallel with the Cory Moruga agreement, all historical differences and disputes between CEG and PRD in relation to the Inniss-Trinity pilot CO2 EOR Project have been fully and amicably resolved.