Advertisement
| 15 April, 2018

Abu Dhabi's Dana Gas jumps on dividend hopes

Dividend policy can be supported by various large sources of funds

A view of Dana Gas plant.

A view of Dana Gas plant.

Dana Gas/Handout via Thomson Reuters Zawya

Shares in Abu Dhabi-listed Dana Gas surge 4.4 percent to 0.96 dirham in early, active trade.

Company said in late March it would seek shareholder approval to pay a dividend for 2017, its first in years; at weekend, it published on its website report by Al-Khaleej newspaper saying "the Board can also now continue to recommend dividends in future years".

Newspaper says dividend policy can be supported by various large sources of funds, including arbitration by Dana's affiliate Crescent Petroleum against Iran, and Dana is already funded to develop assets in Iraq's Kurdistan.

Dana said last week that in its dispute with sukuk holders over their demands that it redeem $700 million of sukuk, it received injunction from English High Court barring it from paying dividends until court holds further hearing on April 20. Dana has challenged injunction.

Advertisement
Stock faces technical resistance on April peak of 1.00 dirham.

Abu Dhabi stock index climbs 0.9 percent

(Reporting by Andrew Torchia) ((andrew.torchia@thomsonreuters.com; +9715 6681 7277; Reuters Messaging: andrew.torchia.thomsonreuters.com@reuters.net))