Genel Energy PLC (GENL.LN), an oil company, primarily focused on the
Kurdistan
region of
Iraq
,
Thursday announced that it has expanded its exploration acreage after acquiring
large stakes in two licenses, offshore
Morocco
and
offshore
Malta
.
MAIN FACTS:
-Agreed to buy a 60% stake, and take operatorship, in an exploration and
production license in the Sidi Moussa Offshore Block, offshore
Morocco
from
Serica Energy PLC (SQZ.T), San Leon Energy PLC (SLE.LN) and Longreach Oil &
Gas Ltd. (LOI.V).
-The current holders of Sidi Moussa comprise Serica Sidi Moussa B.V, San Leon
Offshore Morocco B.V and Longreach Oil and Gas Ventures Limited, who
collectively hold a 75% equity interest, and are the vendors.
-The remaining 25% interest is held by the Office National des Hydrocarbures et
de Mines.
-Genel Energy will acquire a 60% participating interest in Sidi Moussa from the
Vendors pro rate according to their equity interests.
-The consideration comprises an initial payment of $1.3 million in recognition
of past costs plus an exploration carry for the drilling of the commitment well
required in the First Extension Period, of up to the first $50 million gross
cost.
-These will be funded from the Company's existing cash resources.
-In Malta, Genel has agreed to buy a 75% stake in the Production Sharing
Contract in Area 4, including Blocks 4,5,6 & 7, offshore Malta from
Mediterranean Oil & Gas PLC (MOG.LN)
-The consideration comprises an initial payment of $10 million in recognition
of past costs, plus a 100% carry on the first exploration well and a 100% carry
on the second well of up to a maximum of $30 million gross cost.
-These will be funded from the Company's existing cash resources.
-Genel
shares clsoed Wednesday at 694.5 pence.