13 July 2017
Tunisia Update
Gulfsands Petroleum plc (“Gulfsands”, the “Group” or the “Company” – AIM: GPX), the oil and gas company with activities in Syria, Tunisia, Colombia and Morocco, today provides an update on its Chorbane Production Sharing Contract (“Chorbane PSC” or the “Contract”) which is held by its subsidiary, Gulfsands Petroleum Tunisia Limited (“GPTL”).
As previously disclosed, the Chorbane PSC was due to expire on 12 July 2017, following an initial extension of 2 years which was granted in 2015 but the terms of which were disputed with Entreprise Tunisienne d’Activités Pétrolières (“ETAP”).
As previously disclosed, since the Group’s strategy realignment in 2015, Tunisia does not fit with the Company’s stated strategy and so the Group’s continuing involvement in Tunisia has been dependent on finding a partner who could help it take the Chorbane project forward. The Group has not been able to attract such a partner and so the Group has decided not to seek a further extension and instead has allowed the Contract to lapse.
As disclosed in the 2016 Annual Report, the Group had written off its related capitalised E&E asset as at 31 December 2016, and provided for potential costs relating to outstanding contractual issues. No restricted cash balances are held as a guarantee of the minimum work obligations under the Chorbane PSC and there is no parental guarantee in place.
The Group will now work to complete its formal exit from Tunisia.
For further information, please refer to the Company’s website at
www.gulfsands.com or contact:
نهاية العقد وعدم تمديد الرخصة بسبب عدم وجود شريك لها في شربان من ولاية المهدية