San Leon Energy PLC (AIM:SLE, AQSE:SLE, OTC:SLGYF) has relayed an update from its associate in Nigeria, Decklar Resources, which has reported an increase in oil shipments due for sale.
The company, in a statement, noted Decklar’s news that, alongside its co-venturer Millenium Oil & Gas, a new addendum to a sales agreement sees more crude oil being shipped to a refinery in Edo State, Nigeria.
It takes the total ‘additional contract volume’ to 200,000 barrels, San Leon noted.
Decklar added that trucking of oil continues to the refinery under the initial 30,000 barrel agreement, so far deliveries have now exceeded 20,000 barrels.
Additionally, Decklar noted that it and Millennium are also working to progress necessary permits to sell and export approximately 8,000 barrels previously delivered to Umugini Pipeline Infrastructure Limited and held in storage at the Forcados export terminal tank farm.
San Leon also highlighted that it continues to explore a potential sale of its investments in Decklar, which it deems non-core, though completion of a sale remains subject to the purchaser finalising funding arrangements.
London-listed San Leon has an 11% shareholding in Decklar and has US$5.5mln of loan notes.