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Tuesday, 02 December, 2008, 22:10 GMT | more >>

Ramco rolls with $3.94m debt funding



By Upstream staff 

UK independent Ramco has lined up £2 million ($3.94 million) debt funding from a US private equity investor as it plans to return to its pioneering roots in areas including Iraq, where oil and gas giants have been cleared to bid for licences.

The Aberdeen-based independent said it had arranged a facility to borrow from LC Capital Master Fund, which had earlier signalled its confidence by amassing a 4.6% holding in Ramco.

Ramco said the funding would give it the opportunity to advance projects it is negotiating without raising equity.

Managing director Steve Bertram, declined to give details of the projects, but told Glasgow daily the Herald that that Ramco remained keen to enter the Iraqi play.

Last September, Ramco raised £500,000 from US investors to develop activities in Iraq.

The company formed a venture called Mesopotamia Petroleum Company with Peter Redman, a veteran of the international drilling business, to tout for business in the area.

Yesterday, Bertram said he did not know if it had yet applied to bid for exploration and production licences.

However, the company's name did not appear on a list of 35 companies which the Iraqi Oil Ministry said had qualified to bid in its first licensing round since the 2003 US-led invasion of the country.

Ramco said in certain circumstances the loan from LC Master Fund may be repaid by letting it take equity in projects funded with the debt or by subscribing for shares in Ramco.

The company's Lansdowne subsidiary also has early-stage exploration interests off Ireland.


Monday, 14 April, 2008, 21:40 GMT  | last updated: Tuesday, 15 April, 2008, 07:18 GMT

Infusion: Ramco receives debt funding totaling $3.94m
 

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