NEO has re-negotiated a Jul '19 agreement with Total after Omani partner Petrogas dropped out of the oilfield deal. The structure of the consideration and phasing of payments have been modified in response to the current environment. The initial price for the purchase of the assets was USD 635 MM, which produce around 23,000 b/d. Under the new deal, which should complete 3Q '20 subject to regulatory approvals, Total will get better terms if oil prices recover sharply. Map below showing assets involved courtesy Total.
EO has re-negotiated a Jul '19 agreement with Total after Omani partner Petrogas dropped out of the oilfield deal. The structure of the consideration and phasing of payments have been modified in response to the current environment. The initial price for the purchase of the assets was USD 635 MM, which produce around 23,000 b/d. Under the new deal, which should complete 3Q '20 subject to regulatory approvals, Total will get better terms if oil prices recover sharply. 