WHL Energy Limited is pleased to announce it has executed a non-binding Letter of Intent (LOI) with a potential farminee which is a top 100 Global Fortune 500 Company with substantial production and technical exploration experience and assets.
The LOI outlines:
- a timetable for discussions with the Government of the Republic of the Seychelles necessary to progress the proposal;
- indicative commercial principles in respect of the potential farmin to assist those discussions;
- principles for a forward work programme for the Seychelles oil and gas assets; and.
- the conditions to a process for progressing the negotiation of fully-termed binding agreements (including a Farmin Agreement and Joint Operating Agreement (JOA)).
The LOI is initially non-binding and there is no guarantee that these discussions will result in a legally binding agreement to farmin or that all the conditions precedent to such an agreement will be satisfied.
Commenting on the LOI, WHL Energy Managing Director, Mr Steve Noske, cautioned “that there were a number of pre-conditions to be met before any legally binding Farmin Agreement is signed but noted that the potential farminees technical capabilities and stature is in line with WHL Energy’s stated aim of partnering with an organisation with the capacity to help take the valuable Seychelles asset forward”.
WHL Energy will keep the market informed of any further material developments in accordance with its disclosure obligations.
