DUBAI, Sept 18 Crescent Petroleum, a key
shareholder in Dana Gas, is optimistic that the
Sharjah-based natural gas producer can reach a "comfortable
resolution" on its $920 million Islamic bond maturing in
October, Crescent's president said on Tuesday.
Abu Dhabi-listed Dana is also in talks with the Egyptian
government to recover delayed receivables from its operations in
the North African country, Badr Jafar, Crescent's president,
told reporters on the sidelines of an event in Dubai.
"As a shareholder... I believe there are discussions ongoing
with the ministry for scheduled payments to recover the
receivables," Jafar told reporters on the sidelines of an event
"I'm optimistic and have a lot of faith in the
professionalism and savvy of the management and board to reach a
comfortable resolution with the bondholders and investors
alike," he added.
Dana started facing problems last year after anti-government
protests in countries such as Egypt led to payment delays from
government entities. It has also faced payment issues in Iraq's
The company was owed 729 million dirhams ($198.5 million) in
Egypt as at June 30, 2012, according to its half-year results.
They received 431 million dirhams from Egypt during the first
six months of the year.
Crescent is the largest share holder in Dana with a stake of
20.1 percent, according to Thomson Reuters data.
Dana, which owns a 3-percent stake in Hungarian group MOL
, has so far provided no details on how it plans to
meet the upcoming Islamic bond maturity.
The natural gas producer had appointed Blackstone Group
and Deutsche Bank as advisers to help it weigh
options for the sukuk and said it was committed to finding a
It had cash balance of 601 million dirhams as of June 30,
2012, it said in August. Dana shares were trading flat at 41
fils on the Abu Dhabi bourse at 0915 GMT. They have fallen 11
($1 = 3.6730 UAE dirhams)
(Reporting by Daniel Fineren, Writing by Mirna Sleiman, Editing
by Dinesh Nair)