Immediate Release 12 September 2016
GLOBAL ENERGY DEVELOPMENT PLC
(the "Company" or "Global")
EXTENSION OF NOTE RECEIVABLE
Global Energy Development PLC (AIM:GED), the Latin America focused petroleum exploration, development and production company with operations in Colombia, announces that the Company and HKN, Inc. ("HKN") amended the secured bridge financing note agreement ("Amended Note Receivable") with Everest Hill Group Ltd. ("Everest") on 9 September 2016 to extend the maturity date by thirty (30) days from 15 September 2016 to 15 October 2016. The Amended Note Receivable continues to be subject to an interest charge of 12 per cent. per annum, payable monthly in arrears and also continues to be secured by all of Everest's and its subsidiaries' holdings of Global and HKN securities.
Everest is an affiliated company of the Quasha family trusts which also have an interest in Lyford Investments Enterprises, Ltd., ("Lyford") an existing shareholder in Global. HKN, Lyford and parties acting in concert with them are interested in 22,553,406 Global shares, representing approximately 62.45 per cent of the issued share capital of the Company. By virtue of these holdings, the amendments to the terms of the loan constitute a related party transaction in accordance with AIM Rule 13. With the exception of Mikel Faulkner, who is a director of HKN, the Company's Directors consider, having consulted finnCap Ltd, the Company's Nominated Adviser, that the terms of the Amended Note Receivable are fair and reasonable insofar as the Company's shareholders are concerned.
The information communicated in this announcement is inside information for the purposes of Article 7 of Regulation 596/2014.
Global Energy Development PLC
Anna Williams, Director of Strategy and Business +1 817 424 2424, ext 110 Development
Christopher Raggett/Scott Mathieson/Kate Bannatyne 0207 220 0500 (Corporate Finance)
Joanna Scott (Corporate Broking)
Abchurch 0207 398 7700
Nessyah Hart/ George Robinson [email protected]
This information is provided by RNS