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Hurricane Energy Share Price Slides Following Update

Trade Hurricane Energy Shares Your Capital Is At Risk
Updated 16 Nov 2021
Hurricane Energy

Hurricane Energy (LON: HUR) shares have fallen Tuesday after an update in which the company informed market participants about its current free cash.


Talking about the current financial status, Hurrican Energy told investors that ahead of the maturity of its $152 million convertible-bond principal in July 2022, it has $99 million in net free cash, including revenue from the lifting during October 2021.

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However, not all of the cash is available for the bond repayments at their maturity.

Hurricane said it remains in positive negotiations with Bluewater over extending the Aoka Mizu charter beyond June 2022, although an extension of the contract may require Hurricane to ring-fence material additional funds as security.

In addition, changes to decommissioning estimates may result in additional funds needing to be placed into a trust and classified as restricted cash, reducing the amount of free cash available for bond repayments.

An update on its Lancaster Field Operations revealed the company produced 323,000 barrels of oil during October.

Hurricane Energy shares are currently down 5% at 4.6p.

Should you invest in Hurricane Energy shares?

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