Greece's Energean IPO To Raise $500MM For Israeli Gas Project
LONDON, March 16 (Reuters) - Greece's Energean Oil & Gas plans to raise about $500 million to develop its Israeli offshore fields through an initial public offering (IPO) in London, it said on Friday.
The firm will offer 72.6 million new shares at 4.55 pounds ($6.35) per share, in the first flotation of an oil and gas producer on London's main market since Zenith Energy in January 2017, according to London Stock Exchange data.
Energean will spend the bulk of the funds on developing its Israeli offshore gas fields Karish and Tanin, which have potential reserves of up to 2.4 trillion cubic feet of natural gas and 32.8 million barrels of light oil and condensate.
The firm has classified these reserves as currently not commercially recoverable, but said it believed "Karish and Tanin represent a deliverable commercial development project that will transform the Group's business."
It expects first gas from Karish in 2021 after spending just under $2 billion. It has loans from Israeli and international banks of $1.25 billion, which mature in about three and half years.
Energean, which said it had signed gas supply agreements for about 4.1 billion cubic metres of gas a year, has 50 million barrels of oil and 6 billion cubic feet of gas in more accessible reserves, mainly in Greek offshore fields.
It produced 2,800 barrels per day of oil at its Greek fields in 2017.
($1 = 0.7166 pounds) (Reporting By Shadia Nasralla Editing by Edmund Blair)
WHAT DO YOU THINK?
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.
- Weatherford CEO's Rebound Plan Relies On Getting Smaller
- Iran Says Oil Market Is Too Tight For US Zero Exports Target
- China's Squeezed 'Teapots' Eye Petchem Path To Riches
- Baker Hughes: US Drillers Add Oil Rigs For Second Week In Three
- Venezuela Hands China More Oil Presence, But No Mention Of New Funds
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Major Oilfield Discovery
- EIA Drops 2024 Henry Hub Gas Price Forecast
- EIA and Standard Chartered Offer Up Latest Oil Price Predictions
- Red Sea Region Sees Another Watershed Incident
- Chevron Oil Project in Kazakhstan to Cost $48.5B
- OPEC Voices Encouragement after IEA Affirms Support for Oil Security
- Biden Govt Bares Strategy for Freight Charging, Hydrogen Fueling Infra
- Rystad Looks at the Buzz Around White Hydrogen
- Ukraine Hits Third Russian Refinery In Escalating Drone Strikes
- VIDEO: Missile Attack Kills Crew Transiting Gulf of Aden
- Norway Regulator Blasts Proposal to Halt New Oil and Gas Permits
- Chinese Mega Company Makes Major Oilfield Discovery
- What Is the Biggest Risk to Offshore Oil and Gas Personnel in 2024?
- Is Peak Oil Demand Close?
- Vessel Sinks in Red Sea After Missile Strike
- JP Morgan, Standard Chartered Reveal Latest Oil Price Forecasts
- Exxon Rights in Stabroek Do Not Apply to Hess Merger with Chevron: Hess
- Rystad Forecasts Net Production of Top Permian Producers in 2024
- Analysts Reveal Latest Oil Price Outlook Following OPEC+ Cut Extension