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Oil & Gas

Aminex extends long-stop for Ruvuma farm-out transaction by two weeks

The farm-out is expected to complete soon and resulting funds should cover the company financially until May 2021

Aminex PLC (LON:AEX) told investors that the long stop date in the Ruvuma farm-out transaction has been further extended, and it now has an extra fortnight to close the transaction – with the new date set as July 31.

At the same time, Aminex detailed some additional cost-saving measures including the waiving and surrendering of rights to director share options. There are also proposals, set out a week ago, which will see key employees sacrifice salary in return for share options. The moves aim to reduce the group's overhead and are subject to shareholder approval

READ: Aminex set to complete pivotal farm-out

Aminex added that it is exercising very tight control over costs. Payments related to the farm-out are expected to fund the company until around May 2021, according to the group's management.

"With these cost reduction initiatives, the expected completion of the farm-out soon, and the continued support of ARA and Eclipse, our cornerstone investor, the company looks forward to its next stage of development," Aminex chief executive Robert Ambrose said in a statement released after the London market close on Tuesday.

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