Capricorn Energy PLC (LSE:CNE, OTC:CRNZF) is set to receive up to $50 million of contingent payment under its previous Senegal asset sale to Woodside Petroleum in 2025.
The company, in a statement, told investors that it has been notified that the Senegal assets have now had ’continuous production’ for 30 days, and as such the production condition of the disposal agreement has now been met.
Capricorn will be due either $25 million or $50 million depending upon oil prices – with the former due if the Brent price is above $55, and the later due if its over $60 per barrel - over the first six months of production.
In a statement, it noted: “Capricorn remains committed to returning any available proceeds of this payment to its shareholders. The precise amount of distribution remains subject to any tax obligations ultimately due in Senegal.”