PA Resources divests Tunisian assets
PA Resources, a struggling Swedish oil company, has divested some more of its assets. This time in Tunisia.
The company on Monday said it executed a sale and purchase agreement to sell its entire Tunisian asset portfolio, both onshore and offshore, to ETAP, the Tunisian national oil company,
PA Resources, which became insolvent at the end of March 2015, said the financial details would remain confidential.
Once received, the cash will be disbursed in accordance with the provisions of the Composition Plan adopted by Stockholm District Court in October 2015, the company said.
The company has been selling its assets to repay creditors in accordance with the reorganisation plan.
To remind, earlier this year, PA Resources sold its North Sea assets to Petrogas.
In December 2015, PA Resources said the lower than expected value of the assets, caused by low oil prices, would negatively impact the available cash flow for creditors under the adopted Reorganisation Plan. In addition, the board of directors then said that the asset sales process would probably not generate any proceeds for distribution to shareholders.