Energean will sell oil and gas assets in Egypt, Italy and Croatia to the private equity fund Carlyle for up to $945 million. The deal will include a $504 million cash payment that will allow the London-listed company to pay a $200 million special dividend and fully repay a $450 million corporate bond.
The assets had been incorporated through the acquisition of the oil and gas portfolio of Edison in 2020. «It’s a great deal for us, we’re selling assets at three times the price we bought them for», said the CEO of Energean Mathios Rigas, who said the sale will allow the company to focus on its main gas production facility offshore Israel and its exploration activity in Morocco.
Energean it produced 123,000 barrels of oil equivalent per day (boed) in 2023. For 2024, production in Egypt is expected to rise to 29,000-31,000 boed from around 25,000 boed.
Carlyle International Energy Partners, the fund’s non-U.S. energy investment arm, said it will set up a new company that will seek further acquisitions in the Mediterranean. «This acquisition provides a solid platform to build a stand-alone regional champion in the Mediterranean, one of the fastest growing natural gas markets in the world», CEO Hayward said in a statement.
PHOTO: SHUTTERSTOCK
