DUTCH oil and gas investment company Berlanga Group will acquire the Thai assets of Australia’s Carnarvon Petroleum for a base price of US$50 million.
The 20 per cent stakes in the L44/43, L33/43 and SW1A concessions in the onshore Petchabun basin are operated by Hong Kong-based Eco Environmental Investments subsidiary Eco Orient Energy, which along with joint venture partner Loyz Energy consented to the deal.
The sale price also includes final completion adjustments, which Carnarvon put at US$8.2 million in a January announcement.
Three wells drilled in November and December 2014 had seen field production rates increase to over 6,000 barrels of oil per day during initial testing operations, Carnarvon said in a January announcement.
Eco Orient was to choke back production to between 5,000 and 5,500 barrels of oil per day, Canarvon said, until the next drilling campaign – scheduled for the second quarter of 2015.
Carnarvon managing director Adrian Cook said the move was a step towards moving the company’s focus towards Australia’s North West Shelf.
“Carnarvon now has the cash to ensure it can add value in the Phoenix area through further exploration and appraisal activities, fund ongoing corporate costs through the US$32 million receivable linked to Thailand oilfield revenue and grow the business through further exploration activities, such as those relating to its 100% held Cerberus blocks in the Carnarvon basin,” he said.
The US$32 million in question is to be paid to Carnarvon by Loyz Group as a part of the latter’s purchase of a 20% stake in the assets in March 2014.