The transaction is expected to close by end-October, subject to customary closing conditions.
VAALCO currently has a 30.35% operated interest in the fields in the shallow-water Etame Marin block. Four production platforms and nine wells are in service, including three subsea well tiebacks, with production averaging around 19,000 b/d of oil during 2Q 2016.
CEO Steve Guidry added: “We have identified at least 17 future drilling opportunities we can pursue when prices recover that we estimate could include about 65 MMbbl of gross unrisked recoverable contingent resources.
“This is an ideal acquisition for us as it is anticipated to increase our production by nearly 11% and not require any additional staffing or cash overhead costs to assimilate into the company.”
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