Petroleum Africa
Find us on: 
Monday, May 15, 2017
United Hydrocarbon International Corp. entered into an agreement with Delonex Energy Ltd. for Delonex to acquire the company’s wholly-owned subsidiary, United Hydrocarbon Chad Ltd. UHCL holds United’s PSC in Chad.
This transaction ensures UHCL’s long-term commitment to Chad and maintains United’s exposure to future project successes.
Under the terms of the agreement, Delonex will commit to a comprehensive exploration program with a minimum spend of $65 million in the PSC in Chad. This will include 2D and 3D seismic programs and three exploration wells which represents a significant increase in activity compared to UHCL’s current obligations.
The agreement is based on the acquisition of UHCL by Delonex in exchange for a cash consideration of $35 million. United will retain a continuing economic interest in the Chad PSC and benefit from future commercial success in both the Doba Basin and the Lake Chad Block H through deferred consideration to be paid at agreed milestones.
The transaction will catalyze rapid exploration and development of Chad’s hydrocarbon resources across the PSC including in Block H where there has been virtually no activity since the mid-70s.
The transaction is subject to a number of conditions including approval from the authorities and United shareholder consent.
" alt="Sintana to Expand Asset Base in Namibia with Acquisition">
" alt="Luanda Gives Afentra Nod for Azule Acquisition">
" alt="TotalEnergies Increases Stake in ROC’s Giant Moho Field and Sells Mature Assets">
" alt="Africa’s $824 Billion Debt Burden and Opaque Resource-Backed Loans Hinder its Potential">
" alt="African Refiners Ponder Threats to Energy Security for Africa as Transition Takes Center Stage">
" alt="Invictus Inks Gas Sales MOU to Deliver Power to Eureka Gold Mine">
" alt="Globeleq Acquires the 25 MWp Winnergy Solar PV Plant in Egypt">
" alt="Sintana Completes Well Testing at Mopane 1-X in Namibia">
