22nd Jun 2015 07:18
LONDON (Alliance News) - Petro Matad Ltd on Monday said it has received funds from BG Group PLC related to the farm-out of its licence in Mongolia and said the final condition of the farm-out has been made unconditional after being waived by BG.
Petro Matad entered into an agreement with FTSE-100 listed BG Group in April, under which BG Group will acquire a 78% stake in Blocks IV and V, and in return will pay Petro Matad's share of a mutually agreed USD28 million work programme as well as pay it USD4.5 million in cash.
Petro Matad said it has received the first USD2.75 million in cash from BG, with the remainder to be paid over the next thirty months.
Shares in Petro Matad were up 9% to 6.4 pence in early trade, one of the best performers in the AIM All-Share.
By Sam Unsted; [email protected]; @SamUAtAlliance
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