SDX Finalized Circle Oil Deal

SDX Finalized Circle Oil Deal

Egypt-focused oil and gas firm SDX Energy finalized the deal to buy UK’s Circle Oils assets in Egypt and Morroco for $30m on the 27th of January 2017. Prior to this deal SDX had a $40m fundraising exercise over the week, reported Natural Gas World.

Owning Circle Oil’s assets will boost working production by 247% to reach about 4,705b/d of oil equivalent and its net production reserves will increase by 64% to become 12.03mb of oil equivalent, reported Digital Look Web Financial Group.

The deal will further bring SDX a 40% interest in Egypt’s NW Gemsa concession, adding net total reserves of 3.8mb of oil equivalent; and in Morocco a 75% interest in the Sebou and Lalla Mimouna gas concessions, which will add net total reserves of 0.9mb of oil equivalent as Circle Oil owned a 75% interest in Sebou.

SDX CEO, Paul Welch, stated that the fundraising and acquisition would boost the company’s production and capital as SDX seeks to build a mid-tier exploration and production (E&P) company focused on North Africa. He added: “We remain excited about our upcoming drilling campaign in [Egypt’s] South Disouq and look forward to updating our new and existing stakeholders on the company’s progress over the coming months.”

Sarah Samir 2752 Posts

Sarah has been writing in the oil and gas field for 8 years. She has a Bachelor Degree in English Literature. She has three years of experience in the banking sector.

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