American oil firm Kosmos Energy on May 3, 2012 terminated the acquisition agreement to buy Sabre Oil’s 4.05% interest in the Deepwater Tano Block, offshore Ghana.
The termination was effected after both parties reached a “mutual agreement”.
“Kosmos Energy…has reached a mutual agreement with Sabre Oil & Gas Holdings Ltd. (Sabre) to terminate the acquisition by Kosmos of Sabre’s participating interest in the Deepwater Tano Block, offshore Ghana,” the company said in a statement.
Kosmos on February 27, 2012 announced it has exercised the right under the existing Joint Operating Agreement to acquire the participating interest of Sabre in the DWTB for a purchase price estimated at approximately $365 million.
Kosmos expected to seal the deal in the second quarter of 2012 subject to a definitive transaction agreement, customary closing conditions and necessary government approvals.
Now that the transaction has failed to materialize, Kosmos’ interest in the Deepwater Tano Block remains at 18% with Tullow Oil plc (49.95%), Anadarko Petroleum Corporation (18%), Sabre Oil & Gas Holdings Ltd. (4.05%), and the Ghana National Petroleum Corporation (10% carried interest).
By Ekow Quandzie