SDX Energy said it is proposing to acquire the oil and gas assets of Circle Oil in Egypt and Morocco for a total cash consideration of USD 30 million, Reuters reported.
SDX had announced entering into a non-binding heads of terms with Circle Oil for the acquisition in mid-January. In Egypt, SDX will acquire a 40% interest in North West Gemsa concession, in which it currently holds a 10% stake as part of the agreement. The company will finance the acquisition through conditional placing of new common shares in SDX at a placing price of 30 pence per placing share.
BRIEF – SDX Energy says proposed acquisition of producing assets in Egypt, Morocco
- Proposed acquisition of producing assets in Egypt, Morocco – accelerated bookbuild to raise approximately $40 million.
- Acquire oil, gas assets in Egypt, Morocco, currently held by Circle Oil plc for a total cash consideration of $30 million.
- In Egypt, co will acquire a 40 per cent. Interest in NW Gemsa Concession, in which it currently holds a 10 per cent, as part of deal.
- Acquisition to be funded through conditional placing of new common shares in SDX at a placing price of 30 pence(C$0.50) per placing share.
- On completion of acquisition, co anticipates total net working interest production will increase to approximately 4,705 boepd.
- In Morocco, company will acquire a 75 per cent interest in both Sebou, Lalla Mimouna concessions.
(Source: Enterprise.press & Reuters)