Geo Energy recovers 67% of unpaid receivables via sale of creditors’ rights

The company sold the creditors’ rights for US$18m.

Geo Energy has sold certain creditors’ rights to funds managed by OCP Asia (Singapore) (OCP) for US$18m.

“These creditors’ rights relate to fully provided outstanding receivables from PT Titan Infra Energy and PT Jaya Utama Indonesia,” the company said in a bourse filing.

Through the sale, Geo Energy recovered 67% of its remaining unpaid and outstanding receivables of US$26.85 million.

“The sale provides financial certainty to the group and will have a positive impact on the group’s cash position,” the company said,

Geo Energy expects to recover a gain from the reversal of the provision on this conditional sale in FY2024 following the sale.