Mediterranean-focused oil and gas producer Energean has reached an agreement to sell its assets in Egypt, Italy, and Croatia to private equity fund Carlyle CG.O for up to $945 million. This sale will allow Energean, based in London, to concentrate its efforts on its strategic projects in Morocco.
The transaction will include a $504 million cash payment, which will allow the London-listed company to pay a $200 million special dividend and fully repay a $450 million corporate bond.
Carlyle International Energy Partners, the fund’s non-U.S. energy investment arm, said it will create a new company that will seek to make further acquisitions in the Mediterranean and will be led by former BP CEO Tony Hayward.
Energean CEO Mathios Rigas told Reuters the sale would allow the company to focus on its main gas production facility offshore Israel and its exploration activities in Morocco.
Energean will also look to expand in the Europe, Middle East, and Africa region, particularly where there is long-term policy support for gas and coal replacement, he told the agency. British press.
Energean produced 123,000 barrels of oil equivalent per day (bored) in 2023. For 2024, it expects production in Egypt to increase from around 25,000 boed to 29,000-31,000 boed.
Energean acquired the assets in Egypt, Italy, and Croatia through its acquisition of Edison’s oil and gas portfolio in 2020.
Energean holds 45% and 37.5% shares in the Lixus and Rissana offshore licenses, thus becoming the operator. Chariot retains 30% and 37.5% interests in these licenses, while ONHYM maintains its 25% stake in each of them. Chariot received an upfront payment of $10 million from Energean.
