Canacol Energy Ltd. Announces Strategic Financing with Apollo Investment Corporation
Canacol Energy Ltd. (“Canacol” or the “Corporation”) (TSX:CNE;OTCQX:CNNEF; BVC:CNEC) is pleased to announce that it has established a financing relationship with Apollo Investment Corporation (NASDAQ: AINV) (or “Apollo Investment”) to finance its investment in oil and gas properties
in Colombia and Latin America. As a result, the Corporation has entered into a US$ 100 million unsecured floating rate senior note indenture agreement (the “Senior Notes”), with US$ 50 million drawn and funded today, and a further US$ 50 million committed and available to be drawn at any time within 18 months at the sole discretion of Canacol, subject only to customary closing conditions.
Charle Gamba, President and CEO of Canacol commented: “Combined with our fiscal year-end current cash position of US$ 170 million, Canacol is well positioned to pursue and execute opportunities in Colombia and elsewhere in Latin America. We are excited to partner with Apollo Investment given its strong track record and look forward to pursuing additional opportunities with their support. Given our recent exploration successes for both light oil and gas, these funds also provide Canacol with a flexible option to pursue accelerated growth within our diverse portfolio.”
Ted Goldthorpe, President of Apollo Investment, commented, “We look forward to supporting Canacol and its outstanding team that combines Latin American knowledge and relationships with strong technical expertise and practices. We believe this investment will further our strategy of financing talented, experienced teams who can derive value from physical assets.”
Source: Canacol Energy Ltd.