Columbus Energy Resources PLC La Lora Concession, Spain (2724G)

TIDMCERP

RNS Number : 2724G

Columbus Energy Resources PLC

05 November 2018

5 November 2018

COLUMBUS ENERGY RESOURCES PLC

("Columbus" or the "Company")

La Lora Concession, Spain

Columbus, the oil and gas producer and explorer focused on onshore Trinidad with the ambition to grow in South America, provides the following update affecting its Spanish subsidiary, Compañía Petrolifera de Sedano S.L.U. ("CPS").

CPS has received notification from the Spanish Government that it should commence the decommissioning of the Ayoluengo field. As previously announced, the Company was expecting the Spanish Government to re-tender the La Lora Concession and indeed has been waiting for the re-tender process to commence since January 2017. No reasons have been given by the Spanish Government for the decision not to re-tender the La Lora Concession and the Company will consider its options in this regard.

The Company already carries sufficient provision in its accounts for decommissioning costs. There are various assets on site, including equipment, and these will be moved to, and utilised in, the Trinidadian operations or sold to offset any such costs. No material cash expenditure is expected to be made by the Company in relation to the decommissioning of the La Lora Concession.

Leo Koot, Executive Chairman of Columbus, commented:

"The Company is disappointed that the Spanish Government has not publicly stated why it has decided not to re-tender the La Lora Concession, especially as we have been led to believe that a new tender would be forthcoming before the end of 2018. The Company will consider its options with respect to the Government's decision."

This announcement is inside information for the purposes of Article 7 of Regulation 596/2014.

Contact Information

 
 Columbus Energy Resources plc               [phone] 
  Leo Koot / Gordon Stein                     2039 
 VSA Capital Limited 
  Financial Adviser and Broker               [phone] 
  Andrew Monk / Andrew Raca                   5000 
 Beaumont Cornish Limited 
  Nominated Adviser                          [phone] 
  Roland Cornish / Rosalind Hill Abrahams     3396 
 Camarco 
  Public and Investor Relations              [phone] 
  Georgia Edwards / James Crothers            4983 
 

Notes to Editors:

Columbus Energy Resources Plc is an oil and gas producer and explorer focused on onshore Trinidad with the ambition to grow in South America. The Columbus Energy group has five producing fields, one development project and a highly prospective exploration portfolio in the South West Peninsula, which lies in the extreme southwest of Trinidad and consists of stacked shallow and deep prospects.

Columbus is cashflow positive from operations and aims to create transformational growth by developing its portfolio in a capital efficient and disciplined manner.

Columbus is guided by the following core values; safe and sustainable, stronger together, creative excellence, positive energy, totally trusted and personally responsible.

The Company is led by an experienced Board and senior management team with supportive shareholders and intends on leveraging its expertise and experience to build an attractive and diversified portfolio of assets across South America in order to build an oil production led South American exploration business.

To find out more, visit www.Columbus-erp.com or follow us on Twitter @Columbus_ERP.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

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November 05, 2018 02:00 ET (07:00 GMT)