African Petroleum is an independent oil and gas exploration company operating 10 licences in five countries offshore West Africa. The company has recently announced that it has signed a binding joint bidding agreement with a large London listed oil and gas company.
Working together towards completion of the transaction
The objective is to create a production sharing contract which sees African Petroleum holding a non-operated interest of 45% and the incoming third party securing a 45% operated interest. The remaining 10% is a carried interest held by Petroci, the national oil company of Côte d’Ivoire. The production sharing contract covers the Block CIP513 licence area in Côte d’Ivoire.
Completion of the transaction is subject to negotiation and entry into both commercial agreements and several conditions including the agreement and approval of the government of Côte d’Ivoire.
African Petroleum and the new third party are working together towards completion of the transaction as soon as possible. African Petroleum expects to make further announcements, such as the identity of the third party and further details of commercial terms, in due course, as progress is made.
Commenting on this announcement, African Petroleum’s Chief Executive Officer, Dr Stuart Lake, said: “We are delighted to have signed this agreement with a large London listed E&P company who is a proven operator in Africa. African Petroleum looks forward to completing the transaction so that we can commence an active near term exploration programme in Côte d’Ivoire.”
Adapted from press release by Cecilia Rehn