China blocks the sale, Bankers secures the sale of oil production

China blocks the sale, Bankers secures the sale of oil production

Tirana, 1 September 2016/Independent Balkan News Agency

Canadian company, Bankers Petroleum, which operates in the oil rich area of Fier, in Albania, has signed a conditional agreement in the Albanian market with Ionian Refining and Trading Co. (IRTC).

Bankers may sell up to 65% of its crude oil production under the agreement pursuant to which the Company will receive payment security in advance of crude deliveries.  In accordance with the agreement, deliveries will be made from October 1, 2016 through to December 31, 2017.

Pricing for crude oil sales made under the agreement is equivalent, on a full cost basis, to the pricing obtained by Bankers for its export sales, after accounting for reduced transportation and terminal fees.  IRTC will process the crude oil at the domestic Fier and Ballsh refineries in Albania.  The balance of Bankers’ production will continue to be sold to the export market.

The agreement will become effective upon receipt by Bankers of the Albanian Government’s approval of the Company’s proposed drilling program for the fourth quarter of 2016 and in respect of amendments to lifting procedures between the Company and Albpetrol Sh.A for handling of Albpetrol’s share of volumes from the Patos-Marinza oilfield.

The mystery of the sale to the Chinese

While Bankers is securing the sale of the oil that it extracts from the Albanian underground, its sale has been blocked. In an official statement issued today, Bankers says that this company and “ “Geo-Jade Petroleum Corporation remain committed to completing the corporate transaction pursuant to an arrangement agreement dated March 19, 2016”.

Bankers and The transaction is expected to close before September 30, 2016 and remains subject to the regulatory approval of the Chinese State Administration of Foreign Exchange.  Following successful completion of the transaction, Bankers Shares will be delisted from the Toronto Stock Exchange and the AIM market of the London Stock Exchange. /