Repayment Terms of Existing Loan Facility Extended (UK)
SeaEnergy (AIM: SEA) today announces that it has agreed an extension to the terms of an existing £3.8 million loan facility until 31 January 2011, the facility is provided by LC Capital Master Fund, Ltd (“LC”), a major shareholder in SeaEnergy.
This follows an announcement on 30 September 2010 that LC had agreed an increase to and extension of the repayment of the loan facility until the earlier of 31 December 2010 or completion of the SeaEnergy Renewables Limited (“SERL”) sale process. With disposal negotiations now at an advanced stage, LC has now agreed to extend the repayment terms of this loan facility to support the expected completion timetable. At this time £1.15 million of the facility remains to be drawn by SeaEnergy.
While the negotiations for the disposal of SERL are at an advanced stage, there can be no certainty that they will result in the disposal of SERL. Further announcements will be made in due course.
SeaEnergy PLC is the only listed pure play offshore wind energy company in the UK. SeaEnergy Renewables Limited (SERL) is a subsidiary of the Company and is made up of the team which conceived, developed and delivered the world’s first deep water wind farm development – the Beatrice Demonstrator offshore wind farm (10MW) (the “Beatrice Demonstrator Project”) which is owned and operated by Talisman Energy. The Beatrice Demonstrator Project involved the installation of the two largest wind turbines (5MW each) ever deployed offshore, at water depths of 45 metres. This, combined with the SERL team’s expertise in delivering deep water offshore developments in the oil and gas industry, puts SeaEnergy in an unrivalled position at the vanguard of the emerging offshore renewables industry.
Prior to the UK Round 3 award SeaEnergy had secured a 25% interest in two Scottish offshore wind farm sites, Beatrice and Inch Cape. The award of Zone 1 in the UK Round 3 leasing programme with partners EDP Renovaveis takes SeaEnergy’s net capacity in the UK to over 781MW. SeaEnergy has also signed a Heads of Terms Agreement to develop offshore wind farms in Taiwan with Taiwan Generations Corporation and a Strategic Cooperation Agreement with Nantong COSCO Ship Steel Structure Co. Ltd (NCSC) to develop and market steel structures for the offshore wind industry.
Source: seaenergy-plc, December 24, 2010