Antrim announced that its wholly-owned UK subsidiary Antrim Resources (N.I.) Limited (“ARNIL”) has entered into a US$ 30 million Payment Swap transaction with Credit Suisse AG (“CSAG”) and a Brent oil price Commodity Swap transaction with Credit Suisse International (“CSI”).
US$ 30 Million Payment Swap
ARNIL has entered into a US$ 30 million Payment Swap with CSAG which provides ARNIL with sufficient funding to meet its commitments for cost overruns on the completion of the production well in the Causeway Field in P1383 Block 211/23d (Antrim 35.5% interest), future costs related to the Causeway water injection well and the initial Front End Engineering and Design work associated with the Fyne Field in P077 Block 21/28a (Antrim 100% interest). The Causeway water injector is anticipated to be operational in the second half of 2013. A draft Field Development Plan for the Fyne Field has been submitted to the UK Department of Energy and Climate Change, with first production planned in late 2014.
Under the terms of the Payment Swap, the US$ 30 million is repayable in 29 installments commencing September 2013 and concluding January 2016. The interest rate under the Payment Swap is fixed at 5.1%.
Brent Oil Price Commodity Swap
To enable ARNIL to pay amounts under the Payment Swap, ARNIL entered into a Brent Oil Price Commodity Swap with CSI. The forward sale of 657,350 barrels of Brent crude oil at a fixed price of US$ 89.37 covers the period from February 2013 to December 2015.
[mappress] Press Release, January 24, 2013