Issue of Equity (0075A)

TIDMPELE

RNS Number : 0075A

Petrolatina Energy PLC

25 January 2011

Tuesday 25 January 2011

PetroLatina Energy Plc

("PetroLatina" or the "Company")

Issue of Equity and

Conversion of Tranche 1 of Tribeca's Convertible Loan Note

PetroLatina (AIM: PELE), the independent oil and gas exploration, development and production company, focused on Latin America, announces details of an issue of new ordinary shares of US$0.10 par value each ("Ordinary Shares") in the Company to Tribeca Oil and Gas Financing Inc. ("TOGF"), a subsidiary of existing substantial shareholder Tribeca Oil & Gas, Inc. ("TOGI") (a portfolio investment company of Tribeca Asset Management Inc. (formerly Tribecapital Partners S.A.)), to satisfy interest payable in respect of its two tranches of convertible loan notes and the conversion in full of Tranche 1 of its holding of convertible loan notes.

PetroLatina has on Friday 21 January 2011 issued and allotted (credited as fully paid) to TOGF (i) 571,083 new Ordinary Shares in satisfaction of US$378,433.97, the third six monthly interest installment to 17 December 2010 due in respect of the second tranche of US$6.29 million convertible loan notes subscribed by TOGF on 17 June 2009 at a conversion price of 42.5 pence per share (being the middle market closing price on 16 December 2010), (ii) 423,022 new Ordinary Shares in satisfaction of, US$294,904.11, the fourth and final six monthly interest installment to 21 January 2011 due in respect of the first tranche of US$4.875 million convertible loan notes subscribed by TOGF on 21 January 2009 at a conversion price of 44 pence per share (being the middle market closing price on 20 January 2010) (together the "Interest Shares"), and a further (iii) 14,695,521 new Ordinary Shares in satisfaction of the conversion in full of the first tranche of US$4.875 million convertible loan notes at a conversion price of 20.9375 pence per share (the "Conversion Shares").

The Interest Shares and Conversion Shares will rank pari passu in all respects with the Company's existing Ordinary Shares and application will be made to the London Stock Exchange for these, in aggregate, 15 689,626 new Ordinary Shares to be admitted to trading on AIM ("Admission"). It is expected that Admission will become effective and that dealings in the Interest Shares and Conversion Shares will commence at 8.00 a.m. on Friday 28 January 2011. The Company's issued ordinary share capital will consist of 104,624,266 Ordinary Shares with voting rights. PetroLatina does not hold any Ordinary Shares in treasury and accordingly there are no voting rights in respect of any treasury shares.

The aforementioned figure of 104,624,266 Ordinary Shares may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, PetroLatina under the FSA's Disclosure and Transparency Rules.

Following the issuance of the abovementioned Interest Shares and Conversion Shares, TOGI and its related companies now hold, in aggregate 59,415,781 Ordinary Shares, representing approximately 56.79 per cent of the Company's enlarged issued share capital and warrants over a further 690,644 Ordinary Shares which are automatically exercisable if, and to the extent that, any exercise of the Company's other existing outstanding 1,282,625 warrants occurs. In addition, TOGF currently holds an aggregate principal amount of US$6.29 million of convertible 12 per cent loan notes due in June 2011.

Luc Gerard, Chairman of PetroLatina, commented:

"Conversion of the first tranche of its loan note into equity reflects Tribeca's positive and continued support of the Company and its short, medium and long-term potential, underpinned by our expectations for the planned ongoing and future exploration and development programme."

Enquiries:

 
 PetroLatina Energy Plc                               Tel: [phone] 
 Juan Carlos Rodriguez, Chief Executive Officer 
 Pawan Sharma, Executive Vice President - Corporate   Tel: [phone] 
  Affairs                                              0081 
 
 Strand Hanson Limited 
 Simon Raggett / Matthew Chandler                     Tel: [phone] 
                                                       3494 
 
 Evolution Securities Limited 
 Rob Collins / Chris Sim                              Tel: [phone] 
                                                       4304 
 
 Financial Dynamics 
 Ben Brewerton / Susan Quigley                        Tel: [phone] 
                                                       3113 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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