Sound Energy PLC Appointment re Tendrara Development Financing (8747P)
June 23 2022 - 2:00AM
UK Regulatory
TIDMSOU
RNS Number : 8747P
Sound Energy PLC
23 June 2022
The information contained within this announcement is deemed to
constitute inside information as stipulated under the Market Abuse
Regulation ("MAR") (EU) No. 596/2014, as incorporated into UK law
by the European Union (Withdrawal) Act 2018. Upon the publication
of this announcement, this inside information is now considered to
be in the public domain.
23 June 2022
Sound Energy plc
("Sound Energy" or the "Company")
Appointment of Attijariwafa Bank re Tendrara Development
Financing
Sound Energy, the transition energy company, is pleased to
announce that it has entered into an Arrangement and Mandate letter
with Attijariwafa bank of Morocco (the "Arranger") under which the
Company has mandated the Arranger in relation to the arrangement of
debt financing in relation to the development of Sound Energy's
Tendrara Production Concession (the "Agreement").
Pursuant to the Agreement, the Arranger has been mandated, and
provided with exclusivity by the Company for a period of eight
months, to arrange a long-term senior debt facility with a term of
no more than 12 years of up to 2.250 billion Moroccan dirhams
(approximately US$250 million) for the partial financing of the
currently estimated 3.000 billion Moroccan dirhams (approximately
US$330 million) phase 2 development cost of the Tendrara Production
Concession (the "Financing").
During the term of exclusivity, the parties will seek to
negotiate binding terms for the Financing within 120 days of entry
of the Agreement. The Agreement envisages that any Financing
arranged pursuant to the Agreement may be provided directly and/or
partially underwritten directly by the Arranger or by third
parties.
Graham Lyon, Sound Energy's Executive Chairman, commented:
" Today's announcement confirms the support Sound Energy has
with local financiers to undertake the Tendrara pipeline project
development. Attijariwafa bank is a leading bank in Morocco and has
provided Sound Energy with a compelling case to seek to provide the
majority of Project Finance for the development. The Company is
also progressing potential vendor financing, secondary subordinated
debt and partial asset disposal options to fulfil the remaining
element of Project financing required to achieve year end FID. This
mandate is a significant step towards reaching Final Investment
Decision unlocking further the value of Tendrara Concession to
Sound Energy shareholders, that can aid the provision of economical
and secure gas supply for the local Moroccan power production and
domestic markets. Domestic gas supply remains a highly credible
energy source for Morocco amongst the difficult geopolitical
situation of international energy supply".
The Company cautions that notwithstanding the entry of the
Agreement and the award of exclusivity to the Arranger, there can
at no certainty that Financing will be secured pursuant to the
Agreement or as to the terms on which such financing is
available.
For further information please contact:
Vigo Communications - PR Adviser Tel: 44 (0)20 7390 0230
Patrick d'Ancona
Finlay Thomson
Sound Energy chairman@soundenergyplc.com
Graham Lyon, Executive Chairman
Cenkos Securities - Nominated Adviser Tel: 44 (0)20 7397 8900
Ben Jeynes
Peter Lynch
SP Angel Corporate Finance LLP - Tel: +44 (0)20 3470 0470
Broker
Richard Hail / Stuart Gledhill / Adam
Cowl
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
MSCUUSBRUUUNUAR
(END) Dow Jones Newswires
June 23, 2022 02:00 ET (06:00 GMT)
Sound Energy (LSE:SOU)
Historical Stock Chart
From Mar 2024 to Apr 2024
Sound Energy (LSE:SOU)
Historical Stock Chart
From Apr 2023 to Apr 2024