News

May 15, 2009

Ascent Resources Extends Credit Line As Investors Await News Of First San Severina Transaction

Ascent Resources has extended its credit facilities through a £5 million arrangement with GEM Global Yield Fund Limited, US$2.7 billion investment group. This move equips Ascent with the financial headroom to explore its existing assets or acquire distressed assets. Managing director Jeremy Eng said the arrangement provided funding “certainty and flexibility”. This is important because Ascent is at a very interesting point in its history, with a number of key developments promising much for the future.

The first such development is the alliance with San Severina Holdings, a Swiss based investment company, which was signed in October 2008 and has been described by analysts at Fox Davies Capital as “a game changing agreement”. The two companies agreed to form a joint venture that will acquire minority interests in upstream projects. Ascent will supply management services for these oil and gas properties in return for a carried equity stake in the projects while San Severina, an investment fund...