Don't display this message again [x]

Dear User,

On March 28, 2015 OilCareers and Rigzone will be coming together to provide you with access to the world’s largest resource for Oil and Gas news, jobs and industry insights.

We have recently updated our Terms & Conditions to accommodate these changes. Please read them carefully. By using the Site, you agree to be bound by these terms and conditions. These Terms and Conditions are effective as of March 30, 2015.

Finance & Investing
News Services
Get free industry updates via email.
Daily News
Weekly News
Equipment Updates
Weekly Job Register
Monthly Event Guide
Our privacy


Leni Gas & Oil Sells GOM Offshore Leases

change text size

Leni Gas and Oil US Inc, a subsidiary of LGO, has agreed to sell its interests in two exploration leases; South Marsh Island-6 and Ship Shoal-180 (the "Leases"), in which it holds a 20 percent interest. The sale is to Byron Energy Inc ("Byron") the lease operator and 80 percent interest holder.  Byron has agreed to pay a consideration of $400,000. There is no conditions precedent attached to the sale which is expected to complete immediately on acceptance of the assignment of the Leases by the US Bureau of Ocean Energy Management.

LGO exercised its option under the Strategic Scouting Agreement with Byron in 2010 to participate in the Leases which Byron won in the Gulf of Mexico Lease Sale 213. There has been no new seismic or drilling activity on the leases and LGO has capitalized the acquisition costs and rental fees at $212,000. This sale has no affect on LGO's interests in producing properties in the Gulf of Mexico operated by Marlin Energy LLC.
It is anticipated that the proceeds will be invested in the Moruga North Field in Trinidad where final preparations to commence operations have been delayed due to title defects in some of the petroleum rights leases. These defects have now been remedied and it is expected that work can commence in the next two months.
Neil Ritson, LGO Chief Executive, commented: 
"This small portfolio adjustment continues the corporate refocusing on Trinidad. These exploration opportunities in the shallow water Gulf of Mexico were non-core to the Company's onshore production growth. The funds will be reinvested in Trinidad through the recompletion of two existing oil production wells at Moruga North and the drilling of the first of our three farm-in wells. We also expect shortly to have further news for shareholders on our planned divestment in Spain."


Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies

Most Popular Articles
From the Career Center
Jobs that may interest you
Refinery Capital Project Manager
Expertise: Project Management|Refinery / Plant Operations Supervisor
Location: Houston, TX
Senior Sales Representative
Expertise: Business Development|Sales & Marketing|Technical Sales
Location: Texas or surrounding states, TX
Project Manager
Expertise: Project Engineer|Project Management
Location: Denver, Colorado
search for more jobs