Zenith Energy reduces its debt position by in excess of $1M

Oil&Gas Materials 1 October 2019 10:47 (UTC +04:00)

Baku, Azerbaijan, Oct.1

By Leman Zeynalova – Trend:

Zenith Energy Ltd., the international oil & gas production company operating the largest onshore oilfield in Azerbaijan, has successfully further reduced its debt position, Trend reports citing the company.

As announced on August 5, 2019, the Company was notified by the guarantor of the facility, Mr. Andrea Cattaneo, Chief Executive Officer of Zenith, that he had received legal advice towards initiating a process of litigation against the lender in view of the fact that his guarantee may have been obtained unlawfully.

The full amount of the principal, and related accrued interest, of the Loan Facility is represented and accounted as a liability in the audited Annual Financial Report of the Company as of March 31, 2019, and most recently in the unaudited Q1 Financial Statements as of June 30, 2019 for a total amount of $2,080,523.

As announced on September 17, 2019, the Company entered negotiations with the lender to settle the liability at a significant discount.

"The Board is delighted that, following these negotiations, we have successfully reduced our debt position by in excess of 1 million USD. This further enhances our financial position and builds on the positive progress reported during recent weeks,” Andrea Cattaneo, Chief Executive Officer of Zenith, said.


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