San Leon has a 11% shareholding in Decklar Petroleum Limited (DPL), the local subsidiary of Decklar operating in Nigeria, and has also made a US$5.5 million loan to DPL, via 10% per annum unsecured subordinated loan notes. As announced by San Leon on 20 December 2022, San Leon is currently in advanced negotiations in respect of the proposed sale of San Leon’s non-core investments in DPL.
Part of the text of Decklar’s announcement is set out below:
‘Decklar Resources is pleased to announce that Decklar and its co-venturer Millenium Oil & Gas Company have completed delivery of 10,000 barrels of crude oil to a small crude oil refinery in Edo State, Nigeria.
Delivery of Crude Oil
Decklar and its co-venturer Millenium announce that the delivery of 10,000 bbls of crude oil have now been delivered to a small crude oil refinery in Edo State, Nigeria, and under the terms of the sales agreement an invoice has been issued and payment is to be received within 21 days. The initial agreement provided for deliveries totalling 10,000 bbls, and a new agreement is being negotiated for delivery of an additional 30,000 bbls. The parties are also in discussions to potentially agree upon a monthly minimum quantity of barrels of Oza Oil Field crude to be sold to the refinery going forward.’