Bowleven, the Africa focused oil and gas exploration group, has received the $15 million cash proceeds payable under the Etinde farm-out transaction with Lukoil and NewAge.
The Etinde Permit lies in a shallow water offshore Cameroon, adjacent to the coast.
Bowleven said on Monday that, as at September 30, 2016, the company had circa $100 million cash and no debt.
Under the terms of the Etinde farm-out transaction, Bowleven also has access to a $40 million (net) drilling and testing carry which is expected to cover its share of two appraisal wells on Etinde, with a further $25 million cash receivable on FID.
To remind, Bowleven completed the Etinde farm-out transaction with Lukoil and NewAge and got the initial $165 million cash proceeds in March 2015. The farm-out transaction was originally announced on June 24, 2014, and comprised the acquisition of a 30% and an additional 10% interest in Etinde by Lukoil and NewAge, respectively, in return for an aggregate consideration of approximately $250 million.
Following completion of the farm-out, Bowleven retained a 20% interest in Etinde and operatorship was transferred to NewAge.