Information  X 
Enter a valid email address

Bowleven plc (BLVN)

  Print      Mail a friend       Annual reports

Wednesday 05 February, 2020

Bowleven plc

LOI signed for supply of gas from Etinde

RNS Number : 9713B
Bowleven plc
05 February 2020
 

 

 

 

 

 

5 February 2020

 

 

Bowleven plc

('Bowleven' or 'The Company')

 

 

Letter of Intent signed for supply of gas from Etinde, offshore Cameroon

 

Bowleven, the Africa focused oil and gas exploration group traded on AIM, is pleased to confirm the signature of a non-binding Letter of Intent ("LOI") between Victoria Oil & Gas Plc (AIM:VOG) and New Age Ltd ("New Age"), for the supply of gas from the Etinde Field, offshore Cameroon.

 

Under the terms of the LOI, VOG and New Age will seek to enter into a gas supply agreement ("GSA"). The LOI envisages that New Age will supply processed Gas to Gaz du Cameroun S.A. ("GDC"), a wholly owned subsidiary of Victoria Oil & Gas Plc, at Limbe. GDC would then transport the gas to Douala.

 

The LOI anticipates that the GSA would be for a period of 20 years and would see New Age supply a minimum of 25mmscf per day of gas to GDC for the first three years, increasing to a minimum of 30mmscf per day. The LOI remains in force until the earlier of the signature of a GSA or 31 March 2021. Ultimately, finalisation of the proposed GSA terms and conditions is directly linked to the Final Investment Decision ("FID") in relation to the Etinde field development project.

 

Eli Chahin, Chief Executive Officer of Bowleven plc, said:

 

"As we work towards making a final investment decision on Etinde this year, today's announcement by VOG is a positive step towards reconfirming the commerciality of the licence. The agreement is also positive for Cameroon, as it will see gas delivered to independent power suppliers in the country, and for our stakeholders, as it demonstrates the high demand for natural gas in the region. We look forward to updating the market on future progress as appropriate."

 

 

ENQUIRIES


 

For further information, please contact:




Bowleven plc


Eli Chahin, Chief Executive

00 44 203 327 0150



Celicourt Communications Ltd


Mark Antelme

00 44 208 434 2643

Jimmy Lea




Shore Capital & Corporate Ltd (NOMAD)

Shore Capital Stockbrokers Ltd (Broker)


Robert Finlay

00 44 207 408 4090

Antonio Bossi

 


 

 


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 [email protected] or visit www.rns.com.
 
END
 
 
STRKKQBKFBKDKBK

a d v e r t i s e m e n t