Monday, April 10, 2017

PXP Energy hikes stake to 69.5% in Forum Energy



Published March 25, 2017, 10:01 PM By Myrna M. Velasco

Pangilinan-led PXP Energy Corporation (formerly Philex Petroleum Corporation) has increased its direct shareholdings in United Kingdom-listed Forum Energy Ltd. to 69.5 percent, more than 20-percent hike from 48.8 percent previously.
This new transaction amounted to US$11.805 million at $0.30 per share, according to PXP Energy’s disclosure at the Philippine Stock Exchange.
The acquisition, it said, was “funded through the conversion into equity of a portion of the company’s $18.3-million loan to a subsidiary of Forum.”
The company added that the deal “increases PXP’s total direct and indirect interest in Forum from 67.5 percent to 77.5 percent.”
It specified that “the additional interest was acquired through a subscription to 39,350,920 new ordinary shares of Forum.”
Additionally, Tidemark Holdings Ltd. has subscribed to 6,666,667 shares of Forum for the amount of $2.0 million – which it had paid for in cash.
“As a result of these transactions, Tidemark’s Holdings in Forum decreased from 27.1 percent to 20 percent,” PXP Energy has noted.
Forum Energy is the corporate vehicle pursuing exploration and prospective development of the Reed Bank petroleum prospect that is under Service Contract (SC) 72 with the Philippine government via the Department of Energy.
The block covers an 8,800 square kilometers of offshore petroleum license straddling west of Palawan island in the West Philippine Sea.

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