Tullow Oil is engaged in exclusive talks for the possible
acquisition of a major stake in Hyperdynamics’ contract area off Guinea that
could see the UK independent take over operatorship.
Cash-strapped Hyperdynamics, which has been seeking to offload
part of its 77% stake in the concession amid drilling difficulties, said in a
statement issued on Monday that Tullow was in talks to acquire a 40% interest under
an exclusivity agreement that expires on 19 November.
A transaction for transfer of the stake would be completed
by year-end in the event that the parties agree on an acquisition deal.
Hyperdynamics has been facing liquidity challenges due to
high drilling costs on the initial abortive Sabu-1 wildcat sunk on the 25,000
square-kilometre licence and it was forced to ditch a planned second well due
to lack of cash.
The Houston-based company’s chief executive Ray Leonard said
earlier this year it was seeking an “experienced deep-water operator” with
sufficiently deep pockets to move the troubled project forward.
More to follow….