BAKU, Azerbaijan, Dec. 23
By Leman Zeynalova – Trend:
The sale and purchase agreement to sell Italy’s Edison E&P S.p.A. to Greek Energean Capital Ltd is still subject to some governmental approvals, Trend reports with reference to Edison.
Edison has been invited by Algerian authorities to discuss with Sonatrach the agreement in respect of the E&P assets located in Algeria.
Edison and Energean are collaborating to meet the SPA’s conditions and confirm the objective to close the transaction as soon as possible in 2020.
On July 4, 2019 Edison announced the signing of the agreement with Energean Oil and Gas to sell the 100 percent of Edison Exploration and Production (E&P) and its subsidiaries in the hydrocarbons exploration and production business.
The price of the transaction is based on an enterprise value of $750 million, with an additional consideration of $100 million contingent on the commissioning of Cassiopea development gas project in Italy.
Additionally, Edison will be entitled to royalties associated with further potential developments in Egypt that would bring the aggregate value close to $1 billion. The transaction includes also the transferring to the buyer of all Edison future decommissioning obligations.
Edison Exploration and Production manages all of Edison’s activities, mining titles and corporate shareholdings in the hydrocarbons business in Italy and abroad. In particular, Edison E&P owns a portfolio of approximately 90 licences in 9 countries in the Mediterranean and Northern Europe, corresponding to approximately 49,000 barrels per day of net entitlement production as December 31, 2018.
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