Oil and gas production, development and exploration company San Leon Energy has announced an investment of up to $187m from Tri Ri Asset Management Corp (TRAM).
San Leon, which is focused on developments in Nigeria, said today it will use the proceeds of the TRAM investments to invest in Energy Link Infrastructure (Malta) Limited (ELI).
This will make San Leon the largest and majority shareholder in ELI with approximately 55% of the company, it added.
Oisin Fanning, chief executive of San Leon, said the last few months have been difficult for the company, as they have been for many businesses.
"But it is testament to the determination and commitment of our team that we have secured one of the largest fundraisings by an AIM oil & gas company in recent years," Mr Fanning said.
The CEO also said the company had aligned with a strategic funding partner who has been able to commit a greater level of support than its previous proposed lender, through an innovative investment arrangement which includes them becoming a major shareholder of the company.
"Importantly our partnership with TRAM enables us to fulfil our long-held strategy of becoming the majority shareholder in ELI," he said.
"It is no understatement to say that the commissioning of the FSO Akaso Terminalis a game changer, not only for OML 18 but for the entire industry in that region. We are confident that the FSO and the ACOES pipeline will be a significantly profitable and cash-generative project from which San Leon expects substantial upside," the CEO added.
