SacOil shareholders ('Shareholders') are advised that, in line with SacOil's strategy to focus on proven resources as a basis for growth, the Company has embarked on a process of balancing and rationalising its portfolio of assets. The aim of the rationalisation is to restructure the Company's future capital requirements - focusing on cash generative assets and low risk exploration assets.
Pursuant to the above strategy, SacOil has terminated its joint venture with Nigdel United Oil Company ('Nigdel') of Nigeria, and consequently its participation in Oil Prospecting Licence ('OPL') 233.
Accordingly, SacOil has the right to be refunded by Nigdel for all costs expensed to date on OPL 233. Consequently, SacOil has no future commitments and obligations associated with the appraisal of OPL 233.