- SDX Energy has announced that, at the request of the Egyptian Natural Gas Holding Company (‘EGAS’), its wholly owned subsidiary.
- EFGL has simultaneously returned its 33% stake in Nile B.V. to SDX for a nominal fee of $1.
SDX Energy has announced that, at the request of the Egyptian Natural Gas Holding Company (‘EGAS’), its wholly owned subsidiary, Sea Dragon Energy (Nile) B.V., and Energy Flow Global Limited (‘EFGL’) have reconstituted the transaction announced on 1 February 2022. There is no change to the underlying economic substance of the original transaction. Under the initial transaction, EFGL acquired a compelling 18.15% interest in the South Disouq concession by acquiring 33% in Nile B.V.
Under the Reconstitution, Nile B.V. has assigned a direct 18.15% interest in the South Disouq concession to EFGL through a Deed of Assignment. EFGL has simultaneously returned its 33% stake in Nile B.V. to SDX for a nominal fee of $1. The parties have agreed to an effective date, as of the signature by the Egyptian Minister of Petroleum of the Deed of Assignment, on 22 February 2023.
EFGL is considered a related party of SDX, so the Reconstitution represents a related party transaction under the AIM Rules. Having consulted with the Company’s nominated adviser, the directors of the Company consider that the transaction terms are fair and reasonable insofar as its shareholders are concerned.