Twinza Oil Restructure to Proceed After Agreement Between Lenders and Shareholders

Ongoing funding for Twinza Oil Limited (Twinza or the Company) and its 95%-owned Pasca A project has been assured after an agreement was reached between Twinza’s major shareholders and its Senior Lenders.

The Company is pleased to announce that its Senior Lenders, Convertible Redeemable Preference Shareholders (CRPS), and existing major Shareholders have today reached an agreement on a consensual restructuring and signed a restructuring framework document.

Following the restructure, existing Ordinary Shareholders will benefit from an improved shareholding of 7%, a 40% improvement on the 5% offered previously. CRPS holders will have a 10% shareholding post-restructure, which is unchanged.

As part of the restructuring, Senior Lenders, led by Tor Investment Management, will convert the majority of their debt and become the majority shareholder of Twinza and will also make additional funds available to the Company as it completes its FEED program.

Twinza is well-progressed in its FEED process for the Pasca A project, a liquids-rich gas project in shallow water offshore Papua New Guinea, and is aiming to make a Final Investment Decision in the middle of next year.

Chairman Stephen Quantrill commented: “We are incredibly pleased that our stakeholders have come together to agree this historic milestone for the Company. This restructuring will pave the way for Twinza to right-size its balance sheet and allow for future fundraising as we move into project development. This is a great outcome for the company and we’re grateful that our stakeholders were able to come together and work out a collaborative solution.”

With the framework signed, the company will look to implement the restructuring, targeting before this year end. More details will be formally made available in due course.