Panoro to buy Tullow’s Gabon, EG assets

Panoro Energy has signed a deal to acquire Tullow Oil’s offshore oilfield stakes in Gabon and Equatorial Guinea for up to USD 180 million.

Panoro – a UK-based and Oslo-listed E&P player – made the announcement in a press release on Tuesday, naming the assets as a 14.25% working interest in Block G offshore Equatorial Guinea and a 10% working interest in the Dussafu Marin Permit offshore Gabon.

The deal involves an initial USD 140-million payment followed by up to USD 40 million contingent on performance of the assets.

Panoro said the acquisition will increase its size by three or four times, adding 6,900 bopd of net production to its portfolio, and would make it one of the leading Africa-focused independent E&P players.

For Tullow, the deal is part of a broader plan to restructure debt and restrict its focus to flagship fields in Ghana.

To read more on Tullow Oil’s strategy, read our latest interview with executive vice-president Ian Cloke.