On 24 September 2018, Kuwait Energy plc (KE) announced that it had agreed to sell its entire issued share capital to United Energy Group Ltd (UEG). Under the terms of the agreement UEG will acquire the share capital of KE for an approximate consideration of USD491 million on a fully diluted basis which equates to approximately USD1.50 per share. The agreement has been approved unanimously by the KE Board of Directors. KE operates Block 9 in Iraq which contains the Faihaa oil field. Faihaa, which is believed to represent an extension of the Yadavaran field in Iran, is currently producing approximately 20,000 b/d. KE has a 60% interest in Block 9 with partners Dragon Oil plc 30% and Egyptian General Petroleum Corporation (EGPC) 10%. It also signed a 20 year gas development and production service contract with the Iraqi Ministry of Oil for the Siba field on 5 June 2011. KEC 30% is partnered in the contract by Turkiye Petrolleri A.O. (TPAO) 30%, Missan Oil Company (MOC) 25% and EGPC 15%. In April 2018, UEG was awarded the Sindbad Block in the south of Iraq as part of a tender for exploration, development and production of blocks on Iraqâs borders with Kuwait and Iran. The contract when ratified will have a 34 year duration + optional nine-year extension.
Kuwait, not found