Strategic Co-Investment Agreement

RNS Number : 4440R

Anglo Pacific Group PLC

25 October 2013

 



Anglo Pacific and FlowStream Announce Strategic Co-Investment Agreement

LONDON, UK and ST. HELIER, JERSEY, 25^th OCTOBER 2013

Anglo Pacific Group PLC ("Anglo Pacific") (LSE: APF) (TSX: APY) and FlowStream Commodities Ltd ("FlowStream") announce that they have entered into a Strategic Co-Investment Agreement (the "Agreement").

The Agreement provides for Anglo Pacific being offered up to a 10% co-investment interest in a defined number of streaming and royalty projects in the oil and gas sector that FlowStream invests in from 25th October 2013, with an option to increase above 10% on both parties' agreement. Anglo Pacific will benefit from FlowStream's oil & gas opportunity sourcing and technical due diligence capabilities.

FlowStream will benefit from Anglo Pacific's proven expertise and experience in the royalties market garnered from years of being successfully active in mining royalties. In addition FlowStream has secured Anglo Pacific as one of its founding shareholders, alongside KKR and Global Gate Capital SA. 

Julian Treger, Chief Executive Officer of Anglo Pacific, commented: "The Agreement with FlowStream will provide Anglo Pacific with an excellent opportunity to leverage their depth of knowledge and expertise in oil & gas, and gain further exposure to the energy sector."

Brian Wides, Chairman of Anglo Pacific, commented: "We are delighted to be partnering with FlowStream and look forward to working together on their business development pipeline.  We feel that the combination of our co-investment rights and our investment into FlowStream's equity will create an invaluable opportunity for Anglo Pacific."

Jan Laubjerg, Chief Executive Officer of FlowStream, commented: "We are delighted to be partnering with Europe's most experienced royalties company as we launch our oil & gas focused streaming efforts. Having Anglo Pacific alongside us accelerates our ability to execute on our own vision of being a premier, global oil & gas streaming and royalties company."

Ben Iversen, Chief Financial Officer of FlowStream, commented: "Anglo Pacific's support of FlowStream as both an investor in our company as well as a potential co-investor in our projects represents an important mark of validation of our young company. We are delighted that they will bring their expertise and experience in the natural resources royalties sector to bear to support FlowStream's growth going forward."

Enquiries:

Anglo Pacific Bell Pottinger	Julian Treger - Chief Executive Officer Brian Wides - Chairman Mark Potter - Chief Investment Officer Peter Mason - Company Secretary Lorna Spears James Macfarlane	[phone] [phone]
FlowStream Commodities	Jan Laubjerg - Chief Executive Officer Ben Iversen - Chief Financial Officer	[phone] [phone]

Notes to Editors

About Anglo Pacific Group PLC

Anglo Pacific Group PLC is a global natural resources royalties company. The Company's strategy is to expand its mineral royalty interests in long-life mining assets. The Company achieves this through both direct acquisition and investment in projects at the development and production stage. It is a continuing policy of the Company to pay a substantial proportion of these royalties to shareholders as dividends.

About FlowStream Commodities Ltd

FlowStream Commodities is a streaming and royalty company focused on the oil & gas sector. FlowStream provides upfront capital for oil & gas companies and in return receives an oil and/or gas stream on a specific license, lease or field. FlowStream also acquires existing royalties in the oil & gas sector. FlowStream is effectively a non-operating oil & gas company that does not need to fund capex or opex obligations. FlowStream, with the support of its shareholders, which include funds advised by Kohlberg Kravis Roberts & Co. L.P. ("KKR"), Global Gate Capital and Anglo Pacific Group, intends to grow and diversify its portfolio of streams and royalties by sourcing primarily development and producing assets on a worldwide basis. For more information, please visit www.flowstreamcommodities.com

 

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