16th Mar 2016 08:39
LONDON (Alliance News) - Sterling Energy PLC on Wednesday said it has completed its withdrawal from Block C-3 offshore Mauritania, assigning its stake to a subsidiary of Tullow Oil PLC.
The company outlined its plans to withdraw from the block in late January, stating it would assign its entire 40.5% participating interest in the production sharing contract for Block C-3 to Tullow Mauritania Ltd.
Importantly, that came at no cost to Tullow, which now holds a 90% stake in the block alongside its partner, Societe Mauritanienne des Hydrocarbures et de Patrimoine Minier, which holds the other 10% stake.
"We would like to record our sincere thanks to Societe Mauritanienne des Hydrocarbures et de Patrimoine Minier and the government of Mauritania for their understanding and assistance with the withdrawal from Block C-3. We remain committed to our assets in Mauritania and look forward to focussing our efforts on de-risking and maturing the remaining potential in Block C-10," said Sterling.
Sterling shares were up 0.5% to 14.32 pence per share on Wednesday morning, whilst Tullow Oil shares were up 3.6% to 199.03 pence.
Tullow Oil were in favour after it separately said Wednesday it has encountered "good oil shows" across an interval of over 700 metres in the Cheptuket-1 well in Block12A in northern Kenya.
By Joshua Warner; [email protected]; @JoshAlliance
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