21st Jun 2024 10:53
(Alliance News) - Rockhopper Exploration PLC on Friday said that it has received the first tranche payment in relation to the monetisation of its Ombrina Mare arbitration award.
Rockhopper is a Salisbury, England-based oil and gas exploration company, with key interests in the Falkland Islands.
It has received EUR19 million of the EUR45 million tranche one payment, after entering a litigation funding agreement in 2017, under which all costs from commencement to rendering were paid on its behalf.
That agreement entitles the original arbitration funder to a proportion of any proceeds from the award. The balance of EUR26 million has gone to the funder in order to discharge Rockhopper of its liabilities.
Tranches two and three remain payable to Rockhopper upon a successful annulment outcome. Success fees of EUR4 million are owed to Rockhopper's legal representatives if Rockhopper win the claim.
"We are delighted to have received the tranche one payment under the Ombrina Mare monetisation agreement. This cash gives us the strongest balance sheet we have had for a number of years, and we remain confident in the merits of our legal case as we await the decision of the Ad Hoc Panel on the annulment request from the Italian Republic," said Chief Executive Officer Samuel Moody.
Shares in Rockhopper Exploration were trading 1.0% higher at 15.10 pence each in London on Friday morning.
By Holly Beveridge, Alliance News senior reporter
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