PHOENIX Petroleum Philippines, Inc. is asking the consent of the holders of its P1.375-billion fixed rate notes to adopt certain amendments to the trust agreement between the company and China Banking Corp., it told the stock exchange on Tuesday.
“The Proposed Amendment seeks to provide the Company with the flexibility to pursue and capture growth opportunities that will further strengthen its position as the country’s leading independent oil company,” it said.
“With the ongoing expansion of its core operations via roll-out of retail stations nationwide, coupled with the rapid growth prospects of the Company’s subsidiaries, namely PNX Petroleum Singapore Pte Ltd. and Phoenix LPG Philippines, Inc., the Proposed Amendment will allow the Company to strongly support its desired growth trajectory through the aforementioned initiatives,” it added.
Phoenix Petroleum is soliciting the consent of noteholders to amend the trust agreement dated March 16, 2018, between the company and the bank’s trust and asset management group, as trustee and the terms and conditions under which the notes were issued.
Details are set out in the consent solicitation statement that will be made available to the registered noteholders.
The period for the consent solicitation started on July 1 and will end on July 5, 2019. The company said it reserves the right to amend the terms and conditions of the consent solicitation at any time before the expiration date for any reason, including, but not limited to, extending and/or terminating the consent solicitation when the required consents have been obtained.
In March, the listed oil company disclosed that it had signed a memorandum of understanding (MoU) with Philippine National Oil Co. (PNOC), along with China’s CNOOC Gas and Power Group Co. Ltd. (CNOOC G&P), to jointly explore business opportunities in a liquefied natural gas (LNG) hub project.
Phoenix Petroleum had said the MoU was signed on Feb. 28, 2019 in Taguig City at the office of Department of Energy and in the presence of Secretary Alfonso G. Cusi, who also chairs PNOC.
The MoU signing, which came after a series of engagement talks among the three parties, will allow them to explore and discuss business opportunities and cooperation in relation to the equity investment in Tanglawan Philippine LNG, Inc., the project entity for the LNG project.
On Tuesday, shares in Phoenix Petroleum traded lower by 0.49% to close at P12.10 each. — Victor V. Saulon
