The cash-strapped producer appears to have been granted a stay of execution by its creditors. Dana “is in ongoing discussions with an ad-hoc committee of Sukuk holders over terms to amend and extend the Sukuk,” the Sharjah-based upstream firm said on 1 November. An extension and amendments to the Sukuk’s terms are “in the interests of all stakeholders,” Dana says, adding that it “remains committed to finding a consensual solution that is fair and equitable to all stakeholders.”

The firm blames non-payment on “recent liquidity challenges that have emerged as a result of challenging external macro-economic and political circumstances in the region, including the extensively reported problems of payment delays where the company operates [Egypt and the KRG region of Iraq].” However the firm also has deeper-seated problems related to the non-performance of a 2001 agreement to import Iranian gas to the UAE. (CONTINUED - 946 WORDS)