The President of
Mallon, in a statement at the weekend in
He also gave an assurance that the American oil giant would maintain significant presence in deep-water operations in
He confirmed that
He said the transaction would be completed later this year, pending regulatory and other approvals.
He said, when finalised, the sale would include the Mobil Development Nigeria and Mobil Exploration Nigeria equity ownership of MPNU, which holds a 40 per cent stake in four oil mining licenses, including more than 90 shallow-water and onshore platforms and 300 producing wells.
The deal comprises a 40 per cent operating ownership of four oil mining leases (OMLs 67, 68, 70, 104) and associated infrastructure with the
It includes the
The American oil giant explained that the sale of the assets would support the company's disciplined investment strategy and boosts
Mallon, however, assured that
He added that the sale would not result in any loss of employment and was expected to close later this year subject to regulatory and other approvals.
Seplat had disclosed in a statement last Thursday, that it had entered into a Sale and Purchase Agreement to acquire the entire share capital of MPNU for a purchase price of
The transaction, it said, encompasses the acquisition of the entire offshore shallow water business of
Seplat further said the transaction would create one of the largest independent energy companies on both the NGX and LSE and bolster its ability to drive increased growth, profitability and overall stakeholder prosperity.
As reported by THISDAY last Friday, the deal would deliver 186 per cent increase in production from 51,000 bpd to 146,000 bpd or 170 per cent increase in 2P liquids reserves, from 241 MMbbl to 650 MMbbl. It was expected to deliver a 14 per cent increase in 2P gas reserves from 1,501 Bscf to 1,712 Bscf, plus significant undeveloped gas potential of 2,910 Bscf (JV: 7,275 Bscf)
Furthermore, it was expected to increase by 89 per cent, the total 2P reserves from 499 MMboe to 945 MMboe and includes offshore fields with dedicated, MPNU-operated export routes offering enhanced security and reliability.
The transaction agreement disclosed by Seplat also includes potential additional contingent consideration of up to
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