United Oil & Gas Plc. (UOG) has completed the acquisition of Rockhopper Egypt Pty Ltd, the company announced in a statement.
This was announced as the company hosted an investor conference call on February 28, during which the company’s management discussed the completion of the acquisition of Rockhopper Egypt Pty Ltd and offered investors an opportunity to ask questions regarding the transaction and the company’s future plans.
According to the company’s press release, Abu Sennan concession’s production averaged 7,900 barrels of oil equivalent per day (boe/d) in the first half of February 2020, the United Oil and Gas company (UOG).
ASH-2 well in Abu Sennan has been able to double its production from the concession since the effective date of the acquisition. The well has been onstream at over 3,000 barrels of oil per day since the beginning of January 2020, after testing a maximum gross rate of 7,027 barrels of oil per day from the Alam El Bueib reservoir at the end of December 2019.
El Salmiya-5, the first of four fully-funded wells to be drilled in 2020, spudded on February 3, targeting multiple reservoirs in a previously undrained area of the El Salmiya field. Moreover, construction of a gas pipeline on the Al Jahraa field is expected to be completed shortly. On a gross basis, this is expected to bring an additional of 1,000 boep/d of gas onstream.
It added that Consideration Shares held by Rockhopper in United are subject to certain lock-up and orderly market disposal provisions for a period of up to 12 months from completion.
The Chief Executive Officer of United Oil and Gas, Brian Larkin commented that “Completing the acquisition of Rockhopper Egypt represents a significant milestone in the development of United, establishing the company as a full-cycle E&P company, and putting us in a strong position for further growth.”
He added that “Production has increased significantly over the last 12 months, reaching 7,900 boe/d in February 2020. This highlights the potential of the assets and we look forward to working with our new partners to fully deliver on this promise.”