20th Feb 2006 07:00
LinQ Resources Fund ASX Announcement 20 February 2006 $5m Mezzanine Financing Facility Signed with Oilex NL LinQ is pleased to announce that it has reached agreement with Oilex NL("Oilex") to provide Oilex with a mezzanine facility of $5 million for thedevelopment of its Indian petroleum assets. LinQ and Oilex commencednegotiations on the terms of the facility over 2 weeks ago and the transactionis subject to completion of legal documentation.Oilex has entered into an alliance with several major Indian companies and theIndian Government authorities to acquire and develop a portfolio of explorationand production assets in both India and Australia. Oilex has already signed anagreement to take a 30% interest in the Cambay field in western India which hasbeen producing relatively small volumes of gas and minor oil since 1957. Workon the Cambay field will commence in April 2006 upon receiving the necessaryGovernment and Joint Venture approvals.Key financial terms and conditions of the LinQ facility include:Facility amount : $5 million secured by Oilex assets; Coupon : 10% pa; Issue of options to : 5 million February 2010 unlisted options with an LinQ exercise price of $0.50 per option, Facility term : 12 month term from first drawdown. LinQ is delighted to be supporting Oilex in its new venture in India and looksforward to working with Oilex.About LinQ Resources Fund ARSN 108 168 190The LRF is a registered managed investment scheme, which successfully completedan initial public offer in which $83 million was raised and it listed on theAustralian Stock Exchange on 20 January 2005. The unaudited NTA per unit of theLinQ Resources Fund at 31 January 2006 was $1.16, post the 2 cent June 2005distribution.LRF is an actively-managed resources fund which specialises in investments insmall to medium resources companies both in Australia and overseas. The Fundmay invest in companies at all stages of development from exploration throughto production, although the focus in pre cash flow companies is mostly oninvestment in companies in the later stage exploration and economic evaluationphases between discovery and completion of bankable feasibility studies. TheFund aims to provide both yield and capital growth for its investors.Enquiries:Clive DonnerLinQ Capital LimitedTel: 61 8 9488 8888Email: [email protected] LinQ Capital Limited LinQ Capital Limited A.C.N. 098 197 258 Australian Financial Services Licence: 239785 Ground Floor, 24 Outram Street West Perth WA 6005 PO Box 1134, West Perth WA 6872 Telephone +61 8 9488 8888 Facsimile +61 8 9481 0666 Web: http://www.linqresources.com ENDOILEX NLRelated Shares:
OEX.L