Zenith Energy has signed a conditional sale and purchase agreement (SPA) with Tunisian oil and gas company, CNPC, for the working interest in the Sidi El Kilani concession, according to a press release.
It is reported that the consideration payable by Zenith under the terms of the SPA is $300,000. CNPC holds an undivided 22.5% interest in the Tunisian acquisition, together with 25 Class B shares in Compagnie Tuniso-Koweito-Chinoise de Pétrole (CTKCP).
CEO Andrea Cattaneo said, “We are delighted to have concluded this transaction with CNPCI. Upon completion, the Company will have material daily production revenue and an exciting future in developing the Sidi El Kilani asset in partnership with Entreprise Tunisienne d’Activités Pétrolières (ETAP), the state oil company.”
Completion of the SPA is conditional on approval from the Comité Consultatif des Hydrocarbures (CCH) of the Republic of Tunisia.