Calgary, ALBERTA -- TransGlobe Energy has acquired GHP Exploration (West Gharib) which holds a 30% interest in the West Gharib Concession area in the Arab Republic of Egypt. The West Gharib Concession consists of eight development leases and associated infrastructure located onshore Gulf of Suez.
Transaction highlights include:
- TransGlobe Petroleum International Inc., a wholly owned subsidiary of TransGlobe Energy Corp. acquired all the shares of GHP for $40.2 million, plus working capital adjustments, effective Sept. 30, 2007
- GHP holds a 30% working interest in eight development leases and one pending development lease comprising the West Gharib Production Sharing Concession
- After closing the acquisition TransGlobe will hold a 100% interest in the Hana Development Lease and a 75% interest in the remaining seven development leases.
Acquired working interest production and reserves:
- 900+ b/d of oil; 1.7 MMbbls proved reserves; 3.0 MMbbls proved plus probable reserves.
- TransGlobe paid approximately $44,670 per producing barrel of oil for the assets, or $13.40 per proved plus probable barrel of oil.
- Dublin International Petroleum (Egypt) Ltd, a wholly owned subsidiary of TransGlobe, operates the West Gharib Concession Agreement.