Efora Energy: show us the money
Shareholders are getting antsy about a debt of up to R120m that has been due from former partner Encha for two months
Minority shareholders in oil and gas exploration junior Efora Energy are spooked. About two months after an arbitration appeal decision in its favour, the company has been silent on its ability to recover funds from its former partner.Efora — in its previous corporate guise as SacOil — has in the past been a controversial investment that has generated unflattering headlines for its main shareholder, the Public Investment Corp.In late November 2019 Efora announced that its appeal of an earlier arbitration judgment in a R115m dispute involving Encha — a former major shareholder and partner — had been successful.The original judgment had gone against Efora, but the arbitration appeal tribunal reversed this and ordered Encha to pay R75m (plus interest from March 2016) to Efora. The total amount — probably closer to R120m with accrued interest — is significant for a small exploration company like Efora, which has a market capitalisation of around R700m.Encha was also ordered to pay the ...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.