London-listed Oilex (AIM:OEX ) has taken further steps “to maintain focus and reduce expenditure” given current uncertainties and slow-downs facing the energy industry.
The oil and gas exploration company announced today that it has extended the payment terms for its Series B and D loan funding agreements as announced on 15 March 2020.
Its Series B loan repayment date has been extended from 1 April to 31 July 2020 with the firm agreeing to the issue of 115m new options exercisable at GBP 0.11p per option on or before this date.
Meanwhile, whilst the terms of the group’s Series C loan remain unchanged, its Series D option will see the company issuing 204m new options exercisable at GBP 0.11p per option on or before 30 June 2020.
The issue of the new Series B and D options are subject to shareholder approval under ASX Listing Rule 7.1 on or before their respective deadlines.
Shares in Oilex have remain unchanged at 8p per share following the news.
The company had also previously announced an equity capital raising of £0.25 million with Republic Investment Management Pte Ltd through the subscription of 227,272,727 new shares at GBP 0.11 pence per share.
Oilex has now varied the terms to 277,777,778 new shares at GBP 0.09 pence per share.
"Given the current uncertainties and slow-downs facing not only the energy sector, but almost every industry, the Company's management is taking all steps to maintain focus and reduce expenditure,” said Joe Salomon, Managing Director of Oilex.
He added, “The continued support of our major investors is important and much appreciated as we work through this challenging period."
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