San Leon extends completion date for Decklar acquisition

San Leon Energy updated the market on its proposed investment in Decklar Petroleum and the Oza Field in Nigeria on Tuesday.

The AIM-traded firm said the parties had agreed to extend the completion date to early in the new year.

As it had previously announced, San Leon said worldwide restrictions put in place in response to the Covid-19 pandemic had slowed the logistical process in concluding the conditions precedent in the subscription agreement.

“Nevertheless progress continues to be made and the trading subsidiary of a major oil company, which along with a local Nigerian bank, is to provide a five year term debt to Millenium Oil and Gas Company, Decklar's local partner, has provided a further written confirmation of its support of the transaction,” the board said in its statement.

“Given the proximity of the Christmas holiday period, the parties have decided to review the status of the outstanding conditions in the new year and assess at that time what remains outstanding.”

At 1330 GMT, shares in San Leon Energy were down 0.53% at 22.68p.