Photo by: Bloomberg
JSE-listed SacOil has received $10-million from Pan-African banking conglomerate Ecobank, associated with the cash collateral that secured the performance bond on Energy Equity Resources Norway’s offshore oil concession block OPL 233, near Niger.
The cash collateral was originally paid as part of SacOil and Energy Equity Resources’ obligations to post a performance bond on the 126 km2 OPL 233, in April 2012.
SacOil held a 20% interest in the block.
This performance bond expired on May 2, with the full refund received on June 5. One-half of the money was treated as a part repayment of Energy Equity Resources’ outstanding loan related to OPL 233.
SacOil CEO Dr Thabo Kgogo said this represented another positive step in line with the company’s strategy to ensure that it had a strong cash position to fund its future growth ambitions by increasing production and focusing on cash generative assets.
This refund removed the restriction on the cash balance associated with the cash collateral.