Columbus, the oil and gas producer and explorer with operations in Trinidad and Suriname, is pleased to confirm an extension to the term of the Goudron Incremental Production Service Contract (“IPSC”) to 31 March 2020, allowing time for the Company and Heritage to negotiate a longer-term extension.
Background
The ten-year term of the Goudron IPSC was due to expire in November 2019. The Company and Heritage Petroleum Company Limited (“Heritage”) have been in discussions with the intent of agreeing a longer-term extension of the IPSC and the parties intend to use the period to 31 March 2020 to conclude those discussions.
Leo Koot, Executive Chairman, commented:
“Similar to the Inniss-Trinity IPSC, for which an extension and modification was recently granted, the Company looks forward to working with Heritage to agree a mutually beneficial work programme and fiscal regime for the Goudron IPSC so that we can continue to produce from Goudron for many years to come. This will need to be for the benefit of both Columbus and Heritage, taking account of the Trinidad regulatory and taxation environment affecting IPSC’s such as Goudron. We will update the market as soon as the longer term extension is agreed.”
