Houston-based Harvest Natural Resources Inc. sold all of its Venezuelan interests in a closing that became effective the morning of Oct. 7.
As a result, Harvest no longer has a presence in Venezuela, and two of the directors appointed by CT Energy to Harvest's board resigned.
Now, Harvest's primary tangible asset is its oil and gas interests in Gabon. Harvest has received two proposals for the purchase of its Gabon interests and is in discussions with both potential buyers.
The transaction’s closing occurred in accordance with Harvest's June 29 share purchase agreement among subsidiary HNR Energia BV and CT Energy Holding SRL. Delta Petroleum NV, as a permitted assignee, fulfilled CT Energy's obligations under the share purchase agreement. Harvest's stockholders approved the transaction on Sept. 15.
At the closing, Harvest received $80 million in cash, a $12 million six-month 11% note payable to it by the purchaser, and cancellation of $30 million in debt that Harvest owed to CT Energy.
Harvest used part of this cash consideration to pay the remaining debt it owed to CT Energy and for other expenses associated with the transaction.
Net cash proceeds received after paying the above closing adjustments and other expenses was $69.4 million.
Also at the closing, CT Energy relinquished about 8.66 million Harvest shares. They will be held as treasury shares. Harvest now has about 44.3 million outstanding shares.
Recommended Reading
Bill Gates: ‘A Heroic Effort’ is Beginning, but Climate Goals Still Won’t be Hit
2024-03-26 - Bill Gates said during CERAWeek by S&P Global that the energy transition was picking up speed but still wouldn’t be able to achieve the climate goals established under the Paris Agreement of 2015.
CERAWeek: NextEra CEO: Growing Power Demand Opportunity for Renewables
2024-03-19 - Natural gas still has a role to play, according to NextEra Energy CEO John Ketchum.
Avangrid Begins Construction on its First California Solar Farm
2024-04-10 - Avangrid’s Camino Solar project will generate 57 megawatts of power, the equivalent of the power needs of about 14,000 U.S. homes.
Solar Panel Tariff, AD/CVD Speculation No Concern for NextEra
2024-04-24 - NextEra Energy CEO John Ketchum addressed speculation regarding solar panel tariffs and antidumping and countervailing duties on its latest earnings call.
Energy Transition in Motion (Week of March 8, 2024)
2024-03-08 - Here is a look at some of this week’s renewable energy news, including a record-setting 2023 for U.S. solar.