Sound Energy Highlights Morocco Work in H1 Results

Thursday, September 16, 2021

Sound Energy, the Moroccan focused upstream gas company, has provided highlights of its activities in Morocco within its unaudited half-year report for the six months ended June 30, 2021.

HIGHLIGHTS

Development of the Tendrara Production Concession

• Advancement of Phase 1 Micro LNG engineering and commercial gas sales contracts
  • Post period execution of conditional LNG sales agreement with Afriquia Gaz
  • The agreement covers a 10 year Take or Pay liquefied natural gas sale and purchase at Tendrara
  • Advanced negotiation on $18 million loan from Afriquia Gaz, a condition precedent, to be satisfied by 29th October 2021
  • Progressed discussions with Italfluid, Micro LNG facilities provider on Lease to Own facilities and Operations and Maintenance contract
• Advancement of Phase 2 pipeline development discussions on long term take or pay gas sales agreement

Exploration and growth

• Post period Anoual exploration permit extended for a further year
• Post period completion of acquisition of Schlumberger Silk Route Services Limited

Corporate

• Successful restructuring of €28.8 million corporate loan notes in April 2021
• Reduction in administrative expenses by approximately 40% compared with 2020
• Receipt of circa €183,000 first payment for disposal of Badile land in Italy
• Post period equity subscription by Afriquia Gaz of £2.0 million

Graham Lyon, Executive Chairman said: “A huge amount of work has been completed so far this year and much remains to be concluded during the remainder of 2021. Having secured a long-term LNG sales agreement with Afriquia Gaz, we have established a route to market for our gas and following completion of the proposed $18 million loan from Afriquia Gaz, the Company will have financing for the Sound Energy share of the Phase 1 development.

“With important catalysts to come in the near term, I look forward to updating shareholders further as we progress towards the development phase of the project and to becoming a revenue generating business. I would like to thank all our staff, contractors, partners, noteholders, shareholders and other stakeholders for their commitment and support. I feel confident that Sound Energy is moving in the right direction and is building a business that will deliver real value for our investors by playing our part in fueling the energy transition.”

« GO BACK

You may also like

" alt="First LNG Realized at the Greater Tortue Ahmeyim Project">

First LNG Realized at the Greater Tortue Ahmeyim Project

" alt="United Energy Acquires Western Desert Producer APEX">

United Energy Acquires Western Desert Producer APEX

" alt="Baker Hughes Announces Major Gas Technology Orders for Venture Global LNG">

Baker Hughes Announces Major Gas Technology Orders for Venture Global LNG

" alt="ReconAfrica: Naingopo Results Demonstrate a Working Petroleum System">

ReconAfrica: Naingopo Results Demonstrate a Working Petroleum System

" alt="Tullow Highlights 2025 Operational Plans in Ghana">

Tullow Highlights 2025 Operational Plans in Ghana

" alt="TotalEnergies to Supply 1.5 TWh to STMicroelectronics in France Over 15 years">

TotalEnergies to Supply 1.5 TWh to STMicroelectronics in France Over 15 years

" alt="Rockhopper Reaches Final Settlement with United on Egypt’s Abu Sennan Concession">

Rockhopper Reaches Final Settlement with United on Egypt’s Abu Sennan Concession

" alt="Oil & Gas Crucial for African Growth: AEC Calls for Industry Support to Defend African Market">

Oil & Gas Crucial for African Growth: AEC Calls for Industry Support to Defend African Market