Serica Energy completes $100m financing

UK oil and gas firm Serica Energy plc said on Friday that it has completed a US$100 million senior secured debt facility with JPMorgan Chase Bank, N.A. and The Governor and Company of the Bank of Scotland.

The facility, which has an initial term of 12 months with the Company having an option to extend for a further 6 months, will be available to fund appraisal and development expenditures for the Kambuna field in Indonesia, the Columbus field in the UK North Sea as well as for Bream field appraisal expenditure in Norway and general corporate purposes, it said.

The development program for the Kambuna gas/condensate field is underway with first production planned for the end of 2008. The field production platform has been built and will arrive on location in Q4 2007, following which two development wells will be drilled and the Kambuna No. 2 well will be recompleted. In addition, offshore and onshore pipeline route surveys are in progress in preparation for the tender for pipeline supply and installation, whilst negotiations for the sale of the gas and condensate are expected to conclude in Q4 2007, the company said on Nov 15, 2007. (denny)