Dana Gas PJSC, the fuel producer with $1 billion in Islamic bonds maturing in October, may reach a “reasonable resolution with investors” on the sukuk, the president of the company’s biggest shareholder said.
“I am very optimistic about the professionalism of Dana Gas management to reach a reasonable resolution with investors,” Crescent Petroleum Co.’s President Badr Jafar told reporters in Dubai today. “Discussions are ongoing with Egypt regarding scheduling payments.”
Dana Gas has appointed Deutsche Bank AG, Blackstone Group LP and Latham & Watkins LLP to advise on the sukuk. Bondholders of the Islamic debt hired London-based law firm Linklaters LLP to negotiate a restructuring, three people familiar with the matter said in May. The sukuk is secured against the company’s Egyptian assets as well as Sajaa Gas Private Ltd. and United Gas Transmissions Co., part of a venture to supply Iranian gas to the United Arab Emirates that is yet to start.
Crescent Petroleum holds a 20.1 percent stake in Dana Gas, according to data compiled by Bloomberg.