17 December 2021
Sound Energy plc
("Sound Energy" or the "Company")
Phase 1 Development LNG Sale & Purchase Agreement Update
Sound Energy, the energy transition company, announces that material progress has continued to be made towards satisfying the remaining conditions precedent to the Phase 1 LNG Gas sales Agreement (the "LNG GSA") announced by the Company on 29 July 2021.
The LNG GSA, in relation to the Phase 1 liquified natural gas based development of the Company's Tendrara Production Concession, is in addition to the Phase 2 development gas sales agreement announced by the Company on 30 November 2021 in relation to the wider, pipeline based, development plan, and had been expected to become unconditional on or before 17 December 2021.
Reflecting ongoing progress, the parties to the LNG GSA now anticipate execution of final documentation, including in relation to the key loan note agreement described in the Company's announcement of 29 July 2021, and the waiver of any outstanding conditions precedent shortly - with documentation in the final stages of preparation. As a result, the LNG GSA long stop date has now been revised to 31 December 2021.
Graham Lyon, Sound Energy Chairman, commented:
"With much progress made we are very pleased to be nearing the finalisation and execution of documentation which will enable the Phase 1 LNG GSA to become unconditional and for the Phase 1 Notice to Proceed to be provided thereafter. I look forward to updating shareholders in this regard in due course"
Further announcements will be made, as appropriate, in due course.
For further information please contact:
Vigo Consulting - PR Adviser
Tel: 44 (0)20 7390 0230
Graham Lyon, Executive Chairman
Cenkos Securities - Nominated Adviser
Tel: 44 (0)20 7397 8900
SP Angel Corporate Finance LLP - Broker
Richard Hail, Sam Wahab
Tel: 44 (0)20 3470 0470
The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.