18 February 2021 | 08:29am
StockMarketWire.com - Oil and gas company Canadian Overseas Petroleum said it had secured a four-year credit facility for up to US$65 million, paving the way to fund its $54 million acquisition of Atomic Oil and Gas.
Funds from the facility would be used to pay Atomic the remaining $41 million cash component outstanding to complete the transaction, the company said. This loan will facilitate the completion of the Atomic acquisition which will be materially value enhancing to COPL, providing an immediate and growing revenue stream from day one, it added.
The company is acquiring 31.1 million barrels of oil equivalent, or BOE, of reserves, from the acquisition.