CL Financial signs Primera agreement

(Trinidad Express) CL Financial managing director Marlon Holder on Monday signed the definitive share purchase agreement concerning the sale of 100 per cent of the shares of the energy company, the Primera group, to Canadian oil company Touchstone Exploration Inc. According to a statement by Touchstone Exploration, released on Monday after the close of trading on the Canadian stock exchange, the total purchase price, net of liabilities assumed, is US$50.7 million (TT$326 million). A total of US$23.3 million of the purchase price “will be financed by way of vendor take-back notes due two years from closing bearing coupon interest at a rate of 8 per cent per annum and secured exclusively against the Primera Group assets to be acquired,” according to the statement.

The Primera Group consists of equity interests in three privately owned Trinidad-based companies engaged in the exploration for and development and production of oil and gas reserves in T&T. The companies are Primera Oil & Gas Ltd, Primera Oilfield Management Services Ltd and Primera East Brighton Ltd.

The local energy company has 16 oil and gas properties comprising seven on-shore producing oil and gas properties, one on-shore exploration property, one offshore exploration property and seven undeveloped properties.

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