Niko Announces Government Approval of $62 Million Sale of Its Equity Stake in Block 5(c) in Trinidad

Niko Announces Government Approval of $62 Million Sale of Its Equity Stake in 
Block 5(c) in Trinidad 
FOR: Niko Resources Ltd. 
JUNE 12, 2014 
Niko Announces Government Approval of $62 Million Sale of Its Equity Stake in
Block 5(c) in Trinidad 
CALGARY, ALBERTA--(Marketwired - June 12, 2014) - Niko Resources Ltd.
("Niko" or the "Company") (TSX:NKO) is pleased to announce
that the Government of Trinidad and Tobago has approved the previously
announced sale of a 25% interest in Block 5(c) in Trinidad and Tobago to a
subsidiary of the BG Group, 75% interest owner and operator of the block, for
gross proceeds of $62 million. Under the terms of the agreement, a deposit for
a portion of the gross proceeds was paid to Niko in early April and the
remaining proceeds, adjusted for closing adjustments, is to be paid to Niko
prior to the end of June. 
Upon closing of the transaction, under the settlement agreement entered into in
December 2013 with Diamond Offshore, a specified portion of the proceeds will
be used to reduce the Company's outstanding obligation to Diamond. In
addition, under the terms of the Company's term loan facilities agreement,
$20 million of the proceeds will be used by the Company to fully repay Facility
E and, depending on certain circumstances, some or all of the remaining
proceeds will be offered to the Lenders as a potential partial prepayment of
Facility A. 
Forward-Looking Information 
Certain statements in this press release constitute forward-looking
information. Specifically, this press release contains forward looking
information relating to the closing of the Block 5(c) sales transaction and the
use of proceeds of the transaction upon closing. These forward looking
statements are based on certain key expectations and assumptions of management,
including anticipated market conditions. The reader is cautioned that the
assumptions used in the preparation of such forward looking information,
although considered reasonable at the time of preparation, may prove to be
incorrect. Actual results achieved may vary from the information provided
herein as a result of numerous known and unknown risks and uncertainties and
other factors and such variations may be material. Such factors include, but
are not limited to: risks associated with market conditions; risks associated
with oil and gas operations including equipment failures or accidents; the
ability of suppliers and third party contractors to meet commitments; pressure
or irregularities in geological formations; and adverse weather conditions.
Niko makes no representation that the actual results achieved during the
forecast period will be the same in whole or in part as those forecast. 
Niko Resources Ltd.
Jake Brace
(403) 262-1020
Niko Resources Ltd.
Glen Valk
VP Finance & CFO
(403) 262-1020 
INDUSTRY:  Energy and Utilities - Oil and Gas  
-0- Jun/12/2014 22:15 GMT
Press spacebar to pause and continue. Press esc to stop.