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Scirocco agrees repayment of Prolific Basins loan

Scirocco Energy plc said it had agreed an amendment to repaying the outstanding $545,000 investment facility with USA-based investor Prolific Basins LLC.

Deal: Prolific has agreed not to request share issuances providing Scirocco complies with the repayment schedule (Pixabay)

RUVUMA CASH

The company defaulted on the loan after shareholders defeated two resolutions at the general meeting in early August.

Scirocco today said that it would use available cash resources, strengthened by the first cash instalment from ARA Petroleum Tanzania Ltd (APT) under the loan agreement over the Ruvuma disposal agreement.

NEW TERMS

In the coming days, Scirocco will pay $200,000 with the remaining balance of $245,000 to be paid in five equal monthly instalments of $49,000 from November 2022 to March 2023. 

The company said that Prolific had also agreed not to request share issuances under the facility providing the company complies with the repayment schedule.