Transglobe Energy acquires Egypt concession

04 January 2012

Transglobe takes over from Japanese firm in Gulf of Suez

Canadian oil exploration and development firm, Transglobe Energy Corporation has acquired the assets of Japan’s The Egyptian Petroleum Development Company for the West Bakr production sharing agreement in Egypt.

The $60m cash deal was completed on 29 December 2011, but has an effective date of 1 July 2010. Transglobe acquired the operatorship of three fields with 28 producing wells and an output of about 4,350 barrels a day (b/d). This gives Transglobe 1,240 b/d from its share of the agreement, with the Egyptian government taking the remainder.

It also includes two development leases covering 45.2 square kilometres, which are valid until 2020 with an optional five-year extension to 2025. The areas are adjacent to Transglobe’s existing West Gharib development in the western Gulf of Suez. Production at West Gharib stands at 11,500 b/d.

Transglobe will operate the concession through its joint-venture operating company, West Bakr Petroleum Company.

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.