Update sales process Tunisia
In May 2016, PA Resources AB (“The Company”) announced that its wholly owned subsidiaries, PA Resources Tunisia Limited, HydrocarburesTunisie Didon Limited, Hydrocarbures Didon Jersey Limited and HydrocarburesTunisie Corporation, have signed a Sale and Purchase Agreement with the Tunisian National Oil Company, EntrepriseTunisienned’ActivitiesPetrolieres (ETAP), to sell their entire onshore and offshore interests in Tunisia.
Last week, the Company received notification from the Direction Générale de l’Energie (DGE), on behalf of the Tunisian Government, that approvals for the sale to ETAP have now been obtained from Tunisian Advisory Committee of Hydrocarbons. Based on these approvals, the Minister of Energy and Mines can now sign the Ministerial Decree approving the transfer of the interests.
The Company has also received a request from ETAP to extend the Backstop Date for the transaction to 30th September 2016, to enable the formal process to be completed.
The Company expects the proceeds of sale to be received in September and they will be distributed to creditors in accordance with the terms of the Composition Plan after a deduction has been made to settle certain tax liabilities of the Company’s subsidiaries. Consistent with this timetable the Company is putting in place the measures necessary to conduct a solvent wind down process, as contemplated in the Composition Plan.
Payments to Categories A and B (prioritised debts) were made following the sales of the North Sea portfolio to Petrogas earlier this year. Payments to Category A and C are planned following the ETAP sale.
Bondholders, together with other unsecured creditors, belongs to Category C and should expect to recover only a very small fraction of their investment. Shareholders should not expect to receive any monies at the end of the process.