Kuwait – Mubasher: Kuwait Energy signed on Tuesday, 13 December, a forward sale agreement with Holland’s Vitol for providing a financing facility for up to $100 million.
On 22 December, Kuwait Energy received $40 million worth the first drawdown, the company said in a bourse statement issued on Wednesday, noting that the loan will be repaid to Vitol via Kuwait Energy’s Iraqi crude entitlement.
The company clarified that $80 million of the proceeds will be spent on Block 9 development in Iraq, and the remaining $20 million will be spent on Egyptian assets.
“This agreement provides the Company with a long-term buyer for our Iraqi crude while ensuring the availability of capital to continue the development of Block 9,” CEO of Kuwait Energy, Sara Akbar, said.
