Petroleum Africa
Find us on: 
Wednesday, August 16, 2017
Sirius Petroleum, following the completion of technical due diligence on the Ororo field in Nigeria, has entered into a $10 million revolving pre-payment facility and commercial offtake agreement with BP Oil International, a subsidiary of BP.
The agreement provides for the company to draw down up to $10 million, in pre-payment finance following commencement of production from the Ororo Field. The interest rate on any pre-payment amount drawn down will be charged at Libor + 9% per annum and will be repaid from crude oil sales.
Under the agreement, Sirius can request that BP provides pre-payment finance for either or both of the first two cargos of crude oil, each for up to $10 million, scheduled to be lifted in 500,000 barrel parcels or more. The prepayment facility will be conditional upon the Ororo field achieving certain daily production levels, which are lower than the flow rates previously achieved by Chevron on Ororo 1, which have been underpinned by the recent CPR.
Bobo Kuti, CEO of Sirius, commented: “The revolving prepayment facility and offtake agreement with BP supports the multi-well campaign on the Ororo field. It underpins our strategy to develop Ororo along with our world class oilfield service partners COSL, Schlumberger, and Add Energy. In addition, the relationship with BP will enhance our development programs in Nigeria going forward.”
" alt="Globeleq Acquires the 25 MWp Winnergy Solar PV Plant in Egypt">
" alt="Sintana Completes Well Testing at Mopane 1-X in Namibia">
" alt="Infill Drilling to Resume at the Ceiba Field in Equatorial Guinea">
" alt="Uganda National Oil Company Appoints New Executive">
" alt="World’s First Ammonia Dual-Fuel Aframaxes to be Developed by MISC">
" alt="Galp Completes Mopane-1X Well Testing">
" alt="ReconAfrica Updates Activity on Upcoming Namibia Drilling Program">
" alt="SDX Disposes of West Gharib Asset in Egypt">
