AGR Energy announced Wednesday that it has sent Tethys Petroleum an ‘accelerated repayment notice’ in connection to a $7.5-million loan it made to the firm in May this year. AGR, a firm owned by Kazakhstan’s Assaubayev family, said that certain ‘events of default’ had occurred relating to Clause 8.1 of the convertible debenture it arranged with Tethys.
This included Tethys’ failure to make various payments under June 2013 agreements relating to the Bokhtar production sharing contract in Tajikistan, resulting in Tethys receiving on October 11, 2015 a notice from CNPC Central Asia BV and Total E&P Tajikistan BV to withdraw from those agreements. Also, AGR noted that Nostrum Oil & Gas issued an acceleration notice of its own in mid-October that required the immediate repayment of a $5-million facility provided by Nostrum to Tethys, but that this sum remains unpaid.
Nostrum had previously made an offer in July to buy Tethys for $57.2 million but this was immediately rejected by Tethys. Responding to AGR’s accelerated repayment notice, Tethys said that it plans to repay any sums owed to AGR and Nostrum once it receives funds from a new facility it arranged with Olisol Investments Limited on November 19. Central Asia-focused Tethys has assets in Kazakhstan, Tajikistan and Georgia.
In Kazakhstan its Kyzyloi and Akkulka gas development has been in production since 2007, while production tests at its Doris oilfield have generated more than 6,800 barrels per day.