Reach Energy announces that its sub-subsidiary, Emir-Oil LLP has accepted a loan facility of USD6.4million (approximately RM30.3million) offered by RG-HCPI Fund, a registered sub-fund of RG Strategy Fund VCC, incorporated in the Republic of Singapore, upon the terms and conditions as stipulated under the loan agreement.
The drawdown of the facilities it said is subject to compliance of certain conditions precedent stated in the loan agreement.
The group said the purpose of the loan is to finance Emir-Oil’s capital expenditure in relation to its drilling activities of well no. NK-103.
It does not see the facility have any effect on the share capital and substantial shareholders’ shareholding of the Company. And that the facility is not expected to have any material effect on net assets and the earnings of Reach group for the financial year ending 31 December 2024.
