Zenith Energy announces extension of SPA for acquisition of SLK from KUFPEC
Zenith Energy has announced that its wholly owned subsidiary Zenith Energy Netherlands has signed an extension agreement in respect of the conditional sale and purchase agreement (‘SPA’) it signed with KUFPEC for a participation in, inter alia, the North Kairouan permit and the Sidi El Kilani Concession, which includes the Sidi El Kilani oilfield (‘SLK’). For reference, signing of the SPA was announced to the market on April 20, 2020.
KUFPEC holds an undivided 22.5% interest in the Tunisian Acquisition, together with 25 Class B shares in Compagnie Tuniso-Koweito-Chinoise de Pétrole (CTKCP), the operator, representing 25% of the issued share capital of the company.
Completion of the SPA remains conditional on a favourable opinion being granted by the Comité Consultatif des Hydrocarbures (‘CCH’) of the Republic of Tunisia and the approval of the Tunisian State represented by the Ministry of Industry and Energy in respect of the transfer of KUFPEC’s right, title and interest in and under the SLK Concession to Zenith Netherlands.
The Extension has been granted in view of the difficulties caused by the ongoing COVID-19 pandemic which have not enabled Completion to be achieved. The new Longstop date for Completion of the SPA is June 30, 2021.
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