CALGARY (Yosefardi) – Niko Resources Ltd has received approval from the Government of Indonesia for the sale of its subsidiary holding an interest in the North Ganal PSC for net cash consideration of $1.5 million after working capital adjustments.
Closing of this transaction is scheduled to occur in the third quarter of fiscal 2016. Closing of the transaction for the sale of the Company’s interest in one additional Indonesian PSC (North Makassar Strait) is subject to the satisfaction or waiver of the remaining conditions precedent.
In the second quarter of fiscal 2016, the Company closed its Indonesian office and discontinued operating activities related to its remaining Indonesia PSCs.
As at September 30, 2015, the Company’s exploration subsidiaries with interests in Indonesian PSCs had $61 million of accounts payable and accrued liabilities and $144 million of recorded liabilities for unfulfilled exploration work commitments.