UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

Date of Report (Date of earliest event reported): March 13, 2017

 

HYPERDYNAMICS CORPORATION

(Exact name of registrant as specified in its charter)

 

Delaware

(State or other jurisdiction of incorporation or organization)

 

001-32490

 

87-0400335

(Commission File Number)

 

(IRS Employer Identification
No.)

 

12012 Wickchester Lane, Suite 475

Houston, Texas 77079

(Address of principal executive offices,
including Zip Code)

 

(713) 353-9400

(Registrant’s telephone number,
including area code)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions ( see General Instruction A.2. below):

 

o                                Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

o                                Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

 

o                                Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

o                                Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 



 

Item 8.01               Other Events.

 

On March 10, 2017, SCS Corporation Limited, a wholly owned subsidiary of Hyperdynamics Corporation (“Hyperdynamics,” the “Company,” “we,” and “us”), entered into a Tri Party Protocol (“Protocol”) with South Atlantic Petroleum Limited (“SAPETRO”), a privately held Nigerian oil and gas exploration and production company, and the Government of Guinea.

 

Pursuant to the terms of the Protocol, it was agreed that drilling of the Fatala well must commence no later than May 30, 2017 and that SAPETRO and SCS will make all reasonable efforts to negotiate and finalize all transaction documents for SAPETRO’s entry into the project in conformity with the 2006 Production Sharing Contract, as amended (“PSC”) and submit for the approval of the Government of Guinea no later than April 10, 2017.   The Government of Guinea in turn agreed to provide adequate assurances in relation to the validity of the existing PSC and amendments to enable SCS and SAPETRO to enter into the transaction documents and obtain all necessary Government approvals and to mobilize of the requisite resources in the form of contracts, funds and personnel to spud and accomplish drilling operations in respect of the Fatala well and subsequent exploration wells. It was further agreed that upon completion of the transaction documents and receipt of the requisite approvals by the Government of Guinea, SAPETRO will provide the $5 million Security Instrument as required by the terms of the Second Amendment to the PSC.

 

The Protocol in English and French as well as the Press Release regarding this Protocol are filed as Exhibits 99.1, 99.2 and 99.3 to this report.

 

Item 9.01               Financial Statements and Exhibits.

 

Exhibit No.

 

Description

 

 

 

99.1

 

Press Release, dated March 13, 2017.

 

 

 

99.2

 

Tri Party Protocol between SCS Corporation Ltd, SAPETRO and the Government of Guinea dated March 10, 2017. (English)

 

 

 

99.3

 

Tri Party Protocol between SCS Corporation Ltd, SAPETRO and the Government of Guinea dated March 10, 2017. (French)

 

2



 

SIGNATURES

 

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

HYPERDYNAMICS CORPORATION

 

 

 

 

Date: March 13, 2017

By:

/s/ David G. Gullickson

 

Name:

David G. Gullickson

 

Title:

Vice President Finance, Treasurer, and

 

 

Principal Financial and Accounting Officer

 

3



 

EXHIBIT INDEX

 

Exhibit No.

 

Description

 

 

 

99.1

 

Press Release, dated March 13, 2017.

 

 

 

99.2

 

Tri Party Protocol between SCS Corporation Ltd, SAPETRO, and the Government of Guinea dated March 10, 2017. (English)

 

 

 

99.3

 

Tri Party Protocol between SCS Corporation Ltd, SAPETRO, and the Government of Guinea dated March 10, 2017. (French)

 

4


Exhibit 99.1

 

 

Hyperdynamics Corporation Signs a Tri-Party Protocol with the Guinea Government and SAPETRO

 

HOUSTON , March 13, 2017 — Hyperdynamics Corporation (OTCQX: HDYN) (the “Company”) today announced that its wholly owned subsidiary, SCS Corporation Ltd. (“SCS”), has collectively executed on March 10, 2017 in Conakry a Tri-party Protocol “Protocol” with the Government of the Republic of Guinea and South Atlantic Petroleum (“SAPETRO”). The document has been signed by the Director General of the National Petroleum Office, Diakara Koulibaly, Dale Rollins, Managing Director of SAPETRO, and Ray Leonard, Hyperdynamics’ President and Chief Executive Officer.

 

Mr. Leonard, stated, “I am delighted that all parties involved have agreed to move forward with drilling the Fatala well for the benefit of the Republic of Guinea and all other stakeholders.  I am also thankful for the Government of Guinea’s continued confidence in Hyperdynamics, and all parties involved look forward to the opportunity to drill the Fatala well. The commitment by SAPETRO to the Guinea project represents a big step forward in sharing project-related costs and risks with a reputable industry player who recognizes SCS’ Guinea concession’s economic attractiveness and geologic prospectivity”.

 

Terms of the Protocol are the following:

 

·                   The joint objective of the Protocol is to drill the Fatala well in the most effective way and in the case of a discovery, and with unanimous agreement, to proceed with drilling an optimal number of follow-up exploration wells within the terms of the PSC Second Amendment. Drilling of the Fatala well must commence no later than May 30, 2017;

 

·                   SAPETRO and SCS undertake to make all reasonable efforts to negotiate and finalize all transaction documents for SAPETRO’s entry into the project in conformity with the PSC as Amended and submit for the approval of the Government of Guinea no later than April 10, 2017;

 

·                   Upon completion of transaction documents and receipt of the requisite approvals by the Government of Guinea, SAPETRO will provide the $5 million Security Instrument as required under the PSC Second Amendment;

 

·                   SCS, jointly with SAPETRO, will work with the Government of Guinea on mutually agreeable transaction documents and subsequent amendments to the PSC as required. The Government of Guinea will in turn provide adequate assurances in relation to the validity of the existing PSC (and amendments to it) to enable SCS and SAPETRO to enter into the transaction documents and obtain all necessary Government approvals and to mobilize of the requisite resources in the form of contracts, funds and personnel to spud and accomplish drilling operations in respect of the Fatala well and subsequent exploration wells;

 

·                   The Parties agree that the above objectives should be achieved no later than April 10, 2017.

 

About Hyperdynamics

 

Hyperdynamics is an emerging independent oil and gas exploration company that is exploring for oil and gas offshore the Republic of Guinea in West Africa. To find out more, visit our website at www.hyperdynamics.com.

 

Forward Looking Statements

 

This News Release contains “forward-looking statements” within the meaning of Section 27 A of the Securities Act of 1933, as amended, and Section 21 E of the Securities Exchange Act of 1934, as amended.  Forward-looking statements include statements concerning plans, objectives, goals, strategies, expectations, future events or performance and underlying assumptions and other statements which are other than statements of historical facts. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may,” “will,” “expect,” “plan,” “project,” “anticipate,” “estimate,” “believe,” or “think.” Forward-looking statements involve risks and uncertainties which could cause actual results or outcomes to differ materially from those expressed in the forward-looking statements. We assume no duty to update or revise our forward-looking statements based on changes in plans or expectations or otherwise.

 

#  #  #

 


Exhibit 99.2

 

Conakry, March 10, 2017

 

Tri-party memorandum

 

We, the ONAP, representing herein the Government of Guinea, SAPETRO, an international oil company, and HDYN (100% owner of SCS, the Contractor of the PSC dated 22 September, 2006, and amended on 25 March 2010 and 21 September 2016), further referred herein as Parties,

 

hereby have jointly agreed that:

 

·                   Their joint objective is to drill the Fatala well safely and in the most effective way and in the case of a discovery, and with unanimous agreement, to proceed with drilling an optimal number of the follow-up exploration wells within the terms of the PSC to maximize the PSC value for the benefit of the Republic of Guinea and all investors’ stakeholders.  Under the terms of the PSC Second Amendment, the well must be started no later than 30 May 2017;

·                   SAPETRO and HDYN undertake to make all reasonable efforts to negotiate and finalize the Transaction Documents (Farm-out Agreement, Deed of Assignment, Joint Operating Agreement and other documents which may be required) in conformity with the PSC and Amendments and submit to the Government for approval to be received no later than 10 April 2017;

·                   Upon completion of Transaction Documents and Government Approval to enter the project, SAPETRO will provide the $5 MM Security Instrument as required under the PSC Second Amendment.

·                   While HDYN jointly with SAPETRO shall work in cooperation with the Government on agreeing the Transaction Documents and subsequent amendments to the PSC, the Government, while upholding the rights and obligations of all parties and acting in good faith and reasonably, will provide adequate assurances in relation to the validity of the existing PSC (and amendments to it) to enable HDYN and SAPETRO to:

 

·                   Enter into the transaction documents and obtain all necessary Government approvals in relation to that;

·                   Mobilize a pool of resources in the form of contracts, funds and personnel to spud and accomplish drilling operations in respect of the Fatala well [and subsequent exploration wells and works];

 

·                   The Parties agree herein that the above objectives should be achieved no later than April 10, 2017.

 

/s/ Diakaria Koulibaly

 

Diakaria Koulibaly

Director General

ONAP

 

/s/ Ray Leonard

 

Ray Leonard

President and CEO

HYPERDYNAMICS

 

/s/ Dale Rollins

 

Dale Rollins

Managing Director

SAPETRO

 


 

Exhibit 99.3

 

Conakry, le 10 mars 2017

 

Protocole Tripartite

 

Nous, l’ONAP, représentant aux présentes le Gouvernement de Guinée, SAPETRO, une société pétrolière internationale, et HDYN (Une filiale en propriété exclusive à 100% de SCS Corporation, Entrepreneur du CPP daté du 22 septembre 2006, modifié le 25 mars 2010 et le 21 septembre 2016), ci-après désignés les Parties,

 

avons convenu conjointement par les présentes que :

 

·                   Notre objectif commun est le forage du puits Fatala, en sécurité et de la manière la plus efficace, et que dans l’éventualité d’une découverte et par accord unanime, nous procéderons au forage d’un nombre optimal de puits d’exploration de suivi, conformément aux modalités et aux conditions du CPP, afin de maximiser la valeur du CPP au profit de la République de Guinée et de tous les investisseurs parties prenantes et en conformité aux dispositions de l’avenant du CPP, le début des travaux du forage étant fixé au plus tard le 30 Mai 2017.

 

·                   SAPETRO et HDYN s’engagent à prendre toutes les mesures raisonnables pour négocier et finaliser les Documents de la Transaction (Accord de cession de participation, Acte de Cession et Contrat d’exploitation commune, et autres documents pouvant être requis) en conformité avec le CPP et les avenants sus mentionnés et les soumettre au Gouvernement pour approbation au plus tard le 10 Avril 2017;

 

·                   Après la signature des parties prenantes et l’accord du Gouvernement a autoriser le projet, Sapetro procèdera à la mise en place de la garantie sécuritaire à hauteur de 5 Millions de dollars tel que prescrit dans le second amendement.

 

·                   Pendant que HDYN, conjointement avec SAPETRO et en collaboration avec le Gouvernement, travaillera à la rédaction et négociera l’accord sur les Documents de la Transaction et les Avenants ultérieurs au CPP, le Gouvernement fournira des assurances adéquates, sans préjudice du maintien de des droits et des obligations de toutes les parties mais en agissant de bonne foi et raisonnablement, relatives à la validité du CPP existant (et de ses Avenants) afin de permettre à HDYN et à SAPETRO d’entreprendre:

 

·                   la négociation des Documents de la Transaction et d’obtenir toutes les approbations nécessaires y afférentes de la part du Gouvernement;

 

·                   de mobiliser un ensemble de ressources sous forme de contrats, de financement et de personnel pour commencer le forage et accomplir les opérations de forage relatives au puits Fatala [ainsi qu’aux puits d’exploration et aux travaux ultérieurs] ;

 

·                   Les Parties conviennent par les présentes que les objectifs ci-dessus devraient être atteints au plus tard le 10 avril 2017.

 

/s/ Diakaria Koulibaly

 

 

Diakaria Koulibaly

Directeur Général

ONAP

 

/s/ Ray Leonard

 

 

Ray Leonard

Président et Directeur Général

Hyperdynamics

 

/s/ Dale Rollins

 

 

Dale Rollins

Directeur Général

SAPETRO