Gulf Keystone Delays Bond Payments as Oil Drop Hits Finances
- Company due to pay $26 million of interest on April 18
- Oil explorer's shares drop as much as 36% to record 4.5 pence
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Gulf Keystone Petroleum Ltd. will delay about $26 million of bond payments due next week as low oil prices and disruptions in Iraq press its finances.
The company plans to use grace periods for payments on convertible bonds and guaranteed notes due on April 18, it said in a statement on Thursday. Shares of the London-based oil explorer tumbled as much as 36 percent to record-low 4.5 pence.