EnQuest announces entry into North Africa

EnQuest has announced its entry into North Africa through a 70 per cent acquisition of interest in and operatorship of the offshore Tunisian assets of PA Resources.

Assets include 2.0m barrels of oil equivalent (mmboe) of net producing proven and probable oil reserves (2P) in the Zarat Field.

The company said a further two wells in the Didon oil field should add extra reserves in the near future.

EnQuest will pay a cash consideration of $23m upon completion of the transaction. The group has also offered carry consideration of up to $93m payable following its sanctioning of the Zarat field development.

"This opportunity is ideal for EnQuest and our new partners, allowing us to deploy our operating and development expertise in these permits and also adds 2.0 mmboe of net 2P reserves, 41 mmboe of contingent resources, and approximately 1,000 boepd [barrels of oil equivalent per day] net to EnQuest with additional production and 2P reserves coming from a two well in-fill drilling programme in the Didon field in the near future," said Chief Executive Officer, Amjad Bseisu.

RD