Interoil Exploration and Production ASA Colombian subsidiary ("Interoil") is pleased to provide an update on the guarantee for LLA-47.
Further to the announcement made on 29 September 2015, we are pleased to announce that the Colombian regulatory entity, the Agencia Nacional de Hidrocarburos ("ANH"), has accepted our request to reduce the amount of guarantees currently in place for LLA 47.
The ANH has confirmed that a reduced guarantee of US$4,800,000, equivalent to 20% of our commitment of US$24,000,000 for the second segment of the current exploration phase, is required to satisfy our guarantee obligations.
As Interoil has already provided guarantees of US$10,800,000, the ANH will release the additional guarantees of US$6,000,000 and no further guarantees are required.
Alejandro Jotayan, Chief Executive Officer, commented: "We are very pleased that we have been able to manage this situation effectively, as we had hoped at the time of Andes Energia plc's acquisition of its interest in Interoil."
Interoil Exploration and Production ASA is a Norwegian based exploration and production company - listed on the Oslo Stock Exchange - with focus on Latin-America. The Company is the operator of several production and exploration assets in Colombia. Interoil currently employs approximately 95 people and is headquartered in Oslo.