Tullow Oil sales surge as partner Africa Oil sells it’s assets
Shareholders in Tullow Oil received a considerable boost today as Maersk Oil ventured into the world of East African oil through a partial acquisition of drilling licenses in the region.
Tullow’s shares climbed yesterday after its partner, Africa Oil, sold 50 per cent of its holdings to a setof oil fields in Kenya and Ethiopia to Maersk for $365 million with a possibility of a further pay out of $480 million.
Maersk Oil has agreed to pay future contingent payments of up to $480 million to Africa Oil for the Lokichar Project in northern Kenya and southern Ethiopia.
CEO of the Maersk Oil group Jakob Thomasen said, oil has been found in eight areas and production is expected to begin at the start of the next decade. He added that, Maersk Oil is also still looking for opportunities to buy more North Sea interests.
Tullow Oil is one of Africa’s biggest oil exploration companies, with on- and off-shore interests in the east and west of the continent. It has also been exploring in Norway and South America.
