Zenith Energy cancels Option Agreement with Noble Hill-Network for OML 141 RSC in Nigeria

Zenith Energy announced it has elected to not renew the Option Agreement (the Option) with Noble Hill-Network (NHNL), for the purchase of a 42% (forty-two percent) interest in the share capital of NHNL.  

The Company remains of the view that the development of the North-West Corner of OML 141 in Nigeria has significant potential, and it shall look to revisit the opportunity once the ownership of NHNL is unequivocally confirmed by the Nigerian courts.

The Company also announced the appointment of Alternative Resource Capital, as corporate broker to the Company on the London Stock Exchange with immediate effect. Allenby Capital will remain as Zenith’s financial adviser. 

Andrea Cattaneo, Chief Executive Officer of Zenith, said: “The Company’s primary objective is the maximisation of its energy production and development operations across the portfolio in Tunisia and Italy, with the goal of further increasing our record revenue generation and profitability, as well successfully delivering on our growth ambitions in the Republic of the Congo. Zenith’s assessment of the opportunity presented by the acquisition of a 42% in NHNL, and by extension in the potentially highly productive Barracuda and Elepa South oilfields, remains fundamentally unchanged. However, in the interests of a clear strategic vision and the avoidance of protracted delays, we have decided to pause our involvement in this potential transaction until such time as clarity is definitively delivered in certain key areas. The Company is pleased to welcome ARC as corporate broker to the Company, we are confident that their appointment will result in an increased ability by Zenith to attract long-term, institutional investors at a time of great promise for growing energy production and development companies.”