Tullow Oil Buys 50% Share In 6 East African Rift Basins
September 02 2010 - 1:48AM
Dow Jones News
Tullow Oil PLC (TLW.LN), the oil and gas producer, said Thursday
it has bought a 50% operated interest in six adjacent licenses
covering the East African Rift Basins of Kenya and Ethiopia, an
area of 97,000 sq km, from Africa Oil Corp (AOI.V).
MAIN FACTS:
-Tullow will reimburse pro-rata past costs in each of these
blocks and will carry Africa Oil for future net expenditures up to
$23.75 million.
-Five licenses: Blocks 10BB, 10A, 12A and 13T in Kenya and the
South Omo Block in Ethiopia.
-Deal expands on the farm-in to Block 10BA from Centric Energy
announced in August.
-East African Rift Basin acreage has good evidence of a live oil
system.
-First wells expected to be drilled next year.
-Shares closed Wednesday at 1234 pence valuing the company at
GBP10.95 billion.
-By Jana Weigand, Dow Jones Newswires; 44-20-7842-9314;
jana.weigand@dowjones.com