Negative. The GY-678 well has been plugged and abandoned after an unsuccessful attempt to recover downhole equipment. The well cost of US$1.9 mm and potential liability of US$1.5 mm for equipment lost downhole are greater than anticipated. The Company is now in breach of its debt covenants and the bank has indicated that no additional draws can be made at this time.
19 Oct 2015
LGO ENERGY PLC (LGO LN) ANNOUNCES MECHANICAL FAILURE AT THE GY-678 WELL AND FINANCING RISK
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LGO ENERGY PLC (LGO LN) ANNOUNCES MECHANICAL FAILURE AT THE GY-678 WELL AND FINANCING RISK
Columbus Energy Resources (CERP:LON) | 0 0 0.0%
- Published:
19 Oct 2015 -
Author:
Darren B. Engels -
Pages:
3
Negative. The GY-678 well has been plugged and abandoned after an unsuccessful attempt to recover downhole equipment. The well cost of US$1.9 mm and potential liability of US$1.5 mm for equipment lost downhole are greater than anticipated. The Company is now in breach of its debt covenants and the bank has indicated that no additional draws can be made at this time.