SACOIL HOLDINGS LIMITED - Withdrawal of Cautionary AnnouncementRelease Date: 01/04/2015 11:00:00 Code(s): SCL
SACOIL HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1993/000460/06)
JSE Share Code: SCL AIM Share Code: SAC
(?SacOil? or ?the Company?)
WITHDRAWAL OF CAUTIONARY ANNOUNCEMENT
Termination of participation in Oil Prospecting Licence 281
In compliance with JSE Limited (?JSE?) Listings Requirement 3.9,
an issuer who has published a cautionary announcement must
provide updates thereon in the required manner and within the
time limits prescribed.
With reference to the cautionary announcements, the last of
which was published on 16 March 2015 on the Stock Exchange News
Service of the JSE and on the Regulatory News Service of the
London Stock Exchange, SacOil shareholders (?Shareholders?) are
advised that, in line with SacOil?s strategy to focus on proven
resources as a basis for growth, the Company has embarked on a
process of balancing and rationalising its portfolio of assets.
The aim of the rationalisation is to restructure the Company?s
future capital requirements and focus on cash generative assets
and low risk exploration assets.
Pursuant to the above strategy, SacOil has terminated its
participation with Transnational Corporation of Nigeria Plc
(?Transcorp?), the operator of Oil Prospecting Licence (?OPL?)
SacOil paid $12.5 million towards farm-in fees on 28 February
2011, which contractually will be refunded with interest by
Transcorp. In addition, SacOil will not have any future
commitments and obligations associated with the appraisal of OPL
281. As reported in our recent financial statements, the farm-in
fee to Transcorp and the transaction fee payable to Energy
Equity Resources Norway Limited of US$12 million and US$2.5
million respectively will not be due and payable.
Dr Thabo Kgogo, CEO of SacOil, commented, ?The objective of the
rationalisation and termination of the OPL 281 contract with
Transcorp is to restructure the Company?s capital needs, reduce
future financial exposure and focus on cash generative assets.
?We are focused on increasing production in our low cost onshore
asset in Egypt while we assess additional options for increasing
value for our shareholders.?
Accordingly, shareholders are advised that caution is no longer
required to be exercised when dealing in the Company?s
PSG Capital Proprietary Limited
1 April 2015
For further information please contact:
SacOil Holdings Limited +27 (0)11 575 7232
finnCap Limited (Nominated Adviser and +44 (0) 20 7220 0500
FirstEnergy Capital (Financial Adviser +44 (0) 20 7448 0200
and Joint Broker UK)
Instinctif Partners London (UK Investor +44 (0)20 7457 2020
David Simonson / Anca Spiridon
Instinctif Partners Johannesburg (SA +27 (0)11 447 3030
Nicholas Williams / Tshepo Mophiring
Date: 01/04/2015 11:00:00 Supplied by www.sharenet.co.za
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