Ophir sells its stake in exploration block offshore Mexico to partners
Partners in Block 5 located offshore Mexico have signed a sales and purchase agreement with Ophir Energy to acquire Ophir’s 23.33% interest in the block.
The partnership consists of Murphy (operator), Petronas, and Wintershall Dea.
As previously reported, Ophir decided to sell its stake in Block 5 off Mexico despite an oil discovery made with the Cholula-1 exploration well, which was drilled in February and March 2019.
Ophir said in March that the Cholula-1 well had encountered hydrocarbons and further drilling was likely to be required to confirm the commerciality of the block.
Announcing the agreement between the block partners and Ophir on the 15th May, Wintershall Dea said that the allocation scheme of Ophir’s interest is pro rata to the original partner interests. Accordingly, Wintershall Dea will add another 6.67% to its 23.33% shares.
In the new partner structure of Block 5, Wintershall Dea holds 30%, Murphy as operator holds 40%, and Petronas holds the remaining 30%.
The sale is expected to close before the end of the year and is subject to government and regulatory approval, Wintershall Dea said.
In Mexico, Wintershall Dea currently operates the onshore Ogarrio oil field, in partnership with Pemex, and holds interests in ten exploration blocks in the Tampico Misantla and Sureste Basins, three of which as operator.
As a subsidiary of Wintershall Dea, Sierra holds the shares in Block 5. The acquisition of Sierra Oil & Gas by Wintershall Dea was completed in March 2019.
The impending acquisition of Ophir Energy by Indonesia’s Medco is expected to close on the 17th May, as relevant approvals have been received in Tanzania.
Source: Offshore Energy Today