Don't Miss


Home   >   Business   >   Industries   >   Energy   >   Afren To Complete Acquisition Of OML 26 Stake By End 2011

Afren To Complete Acquisition Of OML 26 Stake By End 2011

By on November 7, 2011

Afren’s acquisition of a stake in a Nigeria’s OML 26, announced last year, is on track to complete by the end of 2011, the company’s chief executive said. Last year, Afren announced that First Hydrocarbon Nigeria, the indigenous Nigerian upstream oil and gas company in which Afren holds a 45% interest, has announced the reaching of Definitive Agreements with Shell Petroleum Development Company of Nigeria, Total E&P Nigeria and Nigeria Agip Oil Company, for the acquisition of OML 26, Delta State onshore Nigeria.

‘We’ve received ministerial consent, we’ve received our waiver of pre-emption rights and we’re in the final stages of closing this,’ Chief Executive Osman Shahenshah told Reuters in an interview on Friday. ‘We’re fully on track to close by the end of the year. Nothing’s changed,’ Shahenshah said.

Shahenshah also said that he was confident Afren would meet its target of exiting the year with total group production of around 50,000 barrels of oil equivalent per day (boepd) after ramping up production from its Ebok field, also in Nigeria. ‘Ebok’s going well. Earlier in the year we had some delays but it’s all going very well now,’ he said. Afren said in July it expected full-year production to average between 25,000 and 30,000 boepd, down from the 40,000 boepd it forecast in May.