21st Dec 2007 16:38
Island Oil and Gas PLC21 December 2007 21 December 2007 ISLAND OIL & GAS PLC ANNOUNCES EXTENSION OF LOAN FACILITY Island Oil & Gas plc (LSE:IOG) ("Island" or the "Company"), is pleased toannounce that agreement has been reached with RMB Resources (RMB) to extend theexisting Stg£12 million loan facility, which was repayable at any time up to 31December 2007, through to 31 March 2008. Island has commenced a competitive tendering process with a number of selectedfinancial institutions to secure the appropriate level of funding required toprogress the development of its near-term production portfolio and facilitatefuture working capital requirements. A further announcement will be made whenthe new arrangements are in place. Island has also agreed with RMB that the 5,759,631 three year warrants held byan affiliate of RMB, equivalent to 5.2% of the Company's current issued sharecapital, will now be cancelled in return for the issue to RMB of 1,000,000 fullypaid up ordinary shares in Island, representing 0.887% of the increased sharecapital. The Company has applied for these new ordinary shares to be admittedto trading on the AIM market of the London Stock Exchange and it is expectedthat these new ordinary shares will be admitted to trading on Wednesday 2January 2008. The new ordinary shares will rank pari passu with the existingordinary shares of the Company and will increase the number of shares in issueto 112,706,990. Enquiries: Karl PrendervilleCommercial DirectorIsland Oil & Gas PLCTel: +353 1 6313755 Angela Brown Clark Finance Manager Island Oil & Gas PLCTel: +353 1 6313755 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
IOG.L