Oxbridge Capital Group

Oxbridge Capital Group
Argentum Capital Group

Argentum Capital Group

November 19, 2013 13:29 ET

Oxbridge and Argentum Announce $1 Billion Fund to Capitalize North American Oil and Gas Companies Listing in Singapore

SINGAPORE, SINGAPORE and LONDON, UNITED KINGDOM and VANCOUVER, BRITISH COLUMBIA--(Marketwired - Nov. 19, 2013) - Oxbridge Capital Group, a Vancouver, Canada headquartered private equity group, today announced that it has entered into a 10 year financing agreement with Argentum Energy Partners (and certain affiliates thereof), based in London, to provide up to $1 billion over 60 months in financing to Canadian and other North American companies in the oil and gas sector agreeing to list on the Singapore exchange in transactions brokered by Oxbridge.

The financing initiative announced today will initially focus on providing debt facilities to companies agreeing to joint venture with Oxbridge, Argentum and or certain related entities in achieving a listing in Singapore. Oxbridge will also facilitate equity financing for qualified entities on the Singapore Exchange. The general objective of the fund is to consolidate a number of issuers in achieving critical mass as a prelude to an eventual listing.

Selection Criteria

Companies seeking to access the above referenced facilities will need to meet the following minimum qualification criteria:

  • Reserves - 2P reserves, confirmed by third party advisors, of a minimum threshold level (including assets to be acquired or under contract);

  • Cash Flow - Annual EBITDA on a run rate basis of at least $5mm;

  • Significant Operating History - at least 3 years of successful operation, including meaningful history of acquiring and integrating assets acquired;

  • Product type - Strong preference for conventional and light oil assets;

  • Natural Gas - strong preference for high netback and liquids weighting production;

  • Production - at least 500 bpd of existing production;

  • Decline Rates - long life assets with relatively low decline rates;

  • Business Model - financial model and business case that supports sustainable and growing dividends, including planned acquisitions;

  • Management Team - experienced, innovative and qualified management team with a track record of successfully acquiring, developing and managing large assets; proven track record of creating shareholder value through top tier drill-bit driven growth;

  • Operating efficiencies - demonstrated ability to realize cost savings and growth through infrastructure, land and development synergies, application of continually improving drilling and completion techniques, and scalability of drilling programs; low cost producer, operator and finder with historically high drilling success rates and strong capital efficiencies;

  • Inventory - substantial low risk technically supported drilling inventory; large undeveloped land positions; and

  • Working Interests - high quality, low-cost, high working interest asset base that can act as a springboard to developing a focused and dominant position within any given geographical area play.

Karim Rajani, Chief Executive Officer of Oxbridge Capital, remarked that:

"The financing initiative announced today will play a significant catalytic role in attracting capital to the Canadian oil and gas sector, where capital formation and deal actively have been severely constrained in recent years. By teaming with Argentum and their developed network of hedge funds, banks and financial institutions around the world, including key relationships in the Asian markets, and specifically Singapore, where large capital pools are chasing relatively few available assets in the public markets, significant valuation gains can be realized in attracting international investors to the world class exploration and production assets available in the Canadian oil and gas sector. As a collateral effect, this financing initiative may also result in increased interest in the gas sector specifically, as Asian strategic byers and funding groups scramble to lock in production at historically low pricing, and facilitate financing and or exits for marginal producers throughout North America and the Caribbean."

Canadian, U.S. and European based companies in the oil and gas sector wishing to learn more about the facilities announced today are encouraged to contact Karim Rajani, Greg Darragh or David Hirschman at oxbridgevent01@oxbridgeventures.com with a brief outline of the investment opportunity to be reviewed.

About Oxbridge Capital Group

Oxbridge Capital is a Canadian based private equity group active in three sectors: (i) energy and power, including oil and gas, (ii) real estate and (iii) healthcare. Oxbridge's principals, partners and related funds have facilitated more than $20 billion in debt and equity transactions over the past 30 years. See www.oxbridgeventures.com. Detailed transaction profiles available upon the execution of a NCND agreement.

About Argentum Capital Group

Argentum is an international investment holding company that offers a range of alternative and traditional investment strategies to its institutional and private investors around the world. Our core competencies include (i) Credit and Fixed Income Markets, (ii) Real Estate and (iii) Proprietary Trading of Securities, Commodities and Foreign Exchange. Argentum's in house expertise includes pricing, owning, financing and overseeing the management of physical and financial assets, ranging from real estate and capital assets to financial assets secured by diversified long-term cash flows. Our team has developed significant sector specific expertise and relationships with leading companies, institutions and individuals worldwide. See www.argentumfx.com and www.eventuscapital.com.

About the Singapore Exchange

Singapore is quickly developing into Asia's wealth management hub. The City boasts upwards of $2.1 trillion in assets under management, 3000 investment professionals, 4000 registered funds and 100 fund management companies. The SGX has approximately 775 listed companies with a market capitalization of nearly $700 billion. The SGX is actively seeking new listings in the oil and gas sector, where valuations generally tend to outpace those available on other markets. See www.sgx.com.

(Please note that no exchange or regulatory authority has reviewed or approved this press release)

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