XM does not provide services to residents of the United States of America.

UK's Sound Energy PLC sells Moroccan gas assets to Managem

<html xmlns="http://www.w3.org/1999/xhtml"><head><title>UK's Sound Energy PLC sells Moroccan gas assets to Managem</title></head><body>

RABAT, June 14 (Reuters) -UK gas company Sound Energy PLC SOU.L sold its subsidiary, Sound Energy Morocco East Limited, to Morocco's largest mining company, Managem, the two companies said on Friday.

The transaction amounts to $45.2 million in total, Sound Energy said, adding the sale was key to develop production in the eastern Morocco gas field, known as Tendrara.

The field is expected to start production at 100 million cubic meters annually starting next year, Managem said in a statement.

Managem plans to further increase production there to 280 million cubic meters, when the field will be connected to an existing gas pipeline that connects Morocco to Spain, Managem added.

"The group is actively looking for other gas assets in Africa," ManagemCEO Imad Toumi was quoted in the statement as saying.

Under the deal, Sound Energy will continue to hold a 20% interest in the Tendrara Production concession, and a 27.5% working interest in each of the Grand Tendrara Exploration Concession and the Anoual exploration permit.

In addition to Morocco, Casablanca-listed Managem operates in six African countries and produces cobalt, copper, zinc, gold and silver.

Morocco imports most of its gas needs, estimated at 1 billion cubic meters (bcm) currently, enough to power two small station in its northwestand northeast.

Its gas needs are expected to grow to 8 bcm as the country seeks to reduce its carbon footprint, according to energy ministry estimates.

Reporting by Ahmed Eljechtimi; Editing by Sandra Maler


Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.