Gasol enters Agreement to acquire Enerci

Gasol announced that it has entered an agreement to acquire Energie de Côte d’Ivoire (Enerci) from GDF Suez E&P International for US$116mn

Enerci is a Cote d’Ivoire registered company that owns 12% participating interest in the offshore CI-27 Licence Area under a joint operating agreement. The offshore oil and gas reserve covers about 350 km2 area off the Côte d’Ivoire basin.

The other partners in the licence area are Foxtrot International, Saur Energie Côte d’Ivoire and Société Nationale d’Opérations Pétrolières de la Côte d’Ivoire (Petroci, the national oil company of Côte d’Ivoire).

The fields within the CI-27 Licence currently produce 137mmscf of gas per day and about 1,000 bpd (based on Year to end of November 2013 statistics).  All gas production is transported by pipeline to Abidjan, for onward sale to the country’s power producers under long-term contracts. In 2012, the gas production under the CI-27 Licence accounted for more than 65% of the country’s production.

The chief operating officer of Gasol – Alan Buxton said:
“”We are delighted to have reached an agreement to acquire a 12% interest in the CI-27 licence, which is the largest gas field offshore the Côte d’Ivoire and has an extensive production history. The acquisition provides us with an opportunity to bring a revenue-generating, profitable and self-funding asset into the group and, as such, represents a key milestone in our development as well as a stable, financeable cash flow base from which to grow. We are already working on our strategy to integrate Enerci into our activities in the region with a view to realising maximum benefit and I look forward to updating shareholders further on our plans in due course”

The Acquisition constitutes a reverse takeover under the AIM Rules for Companies and, accordingly, is conditional upon the publication of an admission document by the Company and the approval of the Company’s shareholders at general meeting. Completion of the Acquisition is also conditional upon, inter alia:

●     entry into the US$76m debt facility with Deutsche Bank;

●     approval of the Acquisition by the government of Côte d’Ivoire; and

●     waiver of the pre-emption rights of the JOA parties in relation to the sale of Enerci.

 

Source: Gasol Website


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