OREANDA-NEWS. Fitch Ratings has withdrawn UK-based Afren plc's ratings.

KEY RATING DRIVERS
Fitch is withdrawing the ratings of Afren plc as the company has entered insolvency proceedings. Accordingly, Fitch will no longer provide ratings or analytical coverage for Afren plc.

Afren is small-scale exploration and production company, with production assets mainly in Nigeria. In 2014 the company produced 32 thousand barrels of oil per day, down 32% yoy. The company's financial position and liquidity was severely affected by a combination of falling oil prices, technical difficulties at its largest Ebok field and a corporate governance scandal around unauthorised payments by the company.

In July 2015 Afren announced its discussions with creditors aimed at recapitalising the company have failed and the board has decided to take steps to put the company into administration.

RATING SENSITIVITIES
Not applicable.

The following ratings have been withdrawn:

Afren Plc

Long-term Issuer Default Rating: 'D'
Senior Secured Rating: 'C'
Recovery Rating: 'RR5'