Calgary-based TransGlobe Energy has wrapped up its deal to buy eight development leases in Egypt’s West Gharib concession for $59 million in cash, it said.
The deal includes operatorship of seven producing fields with 24 wells and output of 1500 barrels of oil per day. The properties include estimated proved reserves of 6.3 million barrels.
The eight leases cover a total of 44,000 gross acres with 30 identified drilling locations. TransGlobe said it planned to drill the locations over the next two years.
The deal will boost TransGlobe’s daily production by 27%, the company said.