Block Energy plc has increased its US$1.06 million loan, secured in February 2023, by $940,000 for its oil and gas operations in Georgia.
DIRECTORS’ DEALINGS
The funds will maintain scheduled liftings and accelerate procurement of materials to drill its next project I wells, the first of which is KRT-45Z, in the West Rustavi/Krtsanisi field.
The company may borrow up to an additional $2m during the term of the loan.
Block has also signed a revised loan agreement, reflecting the increased amount and allowing existing and new lenders to participate in the current tranche.
Chief executive officer Paul Haywood provided a further $25,000 in addition to the $90,000 already committed.
Chief operating officer and former board director Ken Seymour gave a further $25,000 in addition to the $100,000 already committed.
Each lender will receive warrants exercisable at 1.92p per ordinary share during the three years from the original agreement of 2 February 2023.
The number of warrants to be issued to lenders as part of the $940,000 loan in aggregate is 19,352,394.
This follows the number of warrants issued to each lender corresponding to an exercise value equal to 50% of their respective loan commitment.