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Renewal of Bank Facility

22nd Jul 2010 10:22

RNS Number : 7508P
Sefton Resources Inc
22 July 2010
 



Sefton Resources, Inc.

("Sefton" or the "Company")

 

Sefton Resources Reaffirms and Extends Credit Facility

 

 

22 July 2010

 

Sefton Resources, Inc. (AIM: SER), an independent exploitation and production company with assets in the East Ventura Basin of California and the Forest City Basin of eastern Kansas, today announced that it has reaffirmed and extended its reserve-based revolving line of credit.

 

The $10 million facility with Bank of the West carries a borrowing base of $7 million, reflecting the maximum amount that may be outstanding under the credit facility at any time. The facility has been reaffirmed and extended for six additional months and will next be reviewed in February 2011. Loans made under this revolving credit agreement are secured by mortgages on substantially all of the Company's oil and gas properties. The credit facility is available to provide funds for the exploration, development and/or acquisition of oil and gas properties, to refinance existing indebtedness and for working capital and other general corporate purposes.

 

Enquiries

 

John James Ellerton, CEO - Tel: 001 303 759 2700

 

David Charles/John Gaensbauer, Sierra Partners LLC - Tel: 001 303 757 2510

 

Nick Harriss/Derek Crowhurst, Religare Capital Markets (Nomad) - Tel: 020 7444 0800

 

Daniel Briggs, Religare Capital Markets (Broker) - Tel: 020 7444 0500

 

Sefton Resources is an AIM-listed oil and gas production company. Its main core area of activity is in the East Ventura Basin in California, where it owns 100% of two oil fields, Tapia Canyon (heavy gravity oil) and Eureka Canyon (medium gravity oil), both of which have over 20 years of expected production life. In addition, Sefton has over 45,000 acres in the Forest City Basin of Eastern Kansas where Coal Bed Methane gases, as well as conventional oil and gas deposits, are targets.

 

This information is provided by RNS
The company news service from the London Stock Exchange
 
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