REG - Challenger Energy - Trinidad Sale Completion

Challenger EnergyAnnouncement

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RNS Number : 3041X  Challenger Energy Group PLC  01 September 2025

1 September 2025

Challenger Energy Group PLC

 

Trinidad Sale Completion

 

Challenger Energy Group PLC (AIM:CEG, OTCQB:BSHPF) ("Challenger" or "the
Company") is pleased to advise that the transaction for the sale of the
entirety of its business and operations in Trinidad and Tobago has been
completed. The Company and the purchaser have agreed to a minor variation of
the payment terms (but not overall payment quantum) to allow for remaining
payments to be in cash and not shares.

Eytan Uliel, CEO of Challenger Energy, said:

"I am pleased to report that we have completed the sale of our business in
Trinidad and Tobago. This allows full focus on our core assets in Uruguay,
where we have a compelling opportunity to create near-term value for our
shareholders".

Details

·    The sale of 100% of the Company's St Lucia domiciled subsidiary
company, Columbus Energy (St. Lucia) Limited ("CEG Trinidad"), which in turn
holds various subsidiary entities that collectively represent all of the
Company's business, assets and operations in Trinidad and Tobago, has
completed effective 29 August 2025 ("Completion").

·    Completion follows receipt of requisite regulatory approvals in
Trinidad and Tobago.

·    The purchaser is Steeldrum Ventures Group (Trinidad) Limited
(formerly Caribbean Rex Limited), an entity jointly owned by T-Rex Resources
(Trinidad) Limited (51%), a wholly owned subsidiary of Predator Oil & Gas
Holding Plc ("POGH"), and the West Indian Energy Group Limited (49%), a
Trinidadian company active in the domestic oil industry ("WEIGL").

·    Reflective of the longer than anticipated time taken to secure
regulatory approvals, the Company and the purchaser have agreed to a variation
of the payment terms (but not overall payment quantum, which remains $1.75m in
total), to allow for all remaining payments to be in cash (and no further POGH
shares) as follows:

§ at the time of entering into the transaction (February 2025), the Company
received an initial deposit of $0.25 million in POGH shares (4,411,641 POGH
shares were issued to the Company);

§ as at Completion, the Company has been paid a further $0.5 million in cash;
and

§ the Company will be paid a further $1 million in deferred consideration,
all in cash - $0.5 million on 31 Augusts 2026, $0.25 million on 31 December
2026, and $0.25 million on 31 December 2027.

·    Effective from completion WEIGL has assume all liabilities,
provisions and potential exposures of the business, assets and operations in
Trinidad and Tobago (which for the purposes of the transaction were agreed to
be $4.25 million), with the effect that from Completion the Company has no
residual exposure to the business and operations in Trinidad and Tobago, and
all associated assets, liabilities and exposures reflected in the Company's
financial statements have been eliminated. Seller's warranties under the sale
and purchase agreement remain applicable for a period of 12 months from
Completion.

·    At year-end 2027, an additional contingent payment of potentially up
to $2 million is also available, under certain conditions linked to production
exceeding 750 bopd.

---

For further information, please contact:

 

 Challenger Energy Group PLC                         Tel: +44 (0) 1624 647 882

 Eytan Uliel, Chief Executive Officer
 Zeus - Nomad and Joint Broker                       Tel: +44 (0) 20 3829 5000

 Simon Johnson / James Joyce / James Bavister
 Stifel - Joint Broker                               Tel: +44 (0) 20 7710 7600

 Ashton Clanfield / Callum Stewart / Simon Mensley
 Gneiss Energy Limited - Financial Adviser           Tel: +44 (0) 20 3983 9263

 Jon Fitzpatrick / Paul Weidman
 CAMARCO - Financial PR                                Tel: +44 (0) 20 3757 4980

 Billy Clegg / Georgia Edmonds / Emily Hall
 Jonathan Paterson - Investor Relations                Tel: +1 475 477 9401

 jonathan.paterson@harbor-access.com

 

 

Notes to Editors

 

Challenger Energy is an Atlantic-margin focused energy company, with a current
high-impact position in Uruguay, where the Company holds two offshore
exploration licences, totalling 19,000km(2) (gross) and is partnered with
Chevron on the AREA-OFF 1 block. Challenger Energy is quoted on the AIM market
of the London Stock Exchange and the OTCQB in the United States.

 

https://www.cegplc.com (https://www.cegplc.com/)

 

ENDS

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