SacOil terminated its joint venture with Nigeria’s Nigdel United Oil Co. that includes its participation in the oil production license 233, offshore Nigeria.
Image from SacOil. |
The company said it is aiming to restructure its future capital requirements and focus on cash generative assests, and low risk exploration assets.
Accordingly, SacOil said it has the right to be refunded by Nigdel for all costs expensed to date on OPL 233, and the company has no future commitments and obligations associated with the appraisal of OPL 233.
“With the expected return of capital from OPL 233 and OPL 281, combined with SacOil’s existing cash resources, the company will be in a far stronger position to pursue its strategy of increasing production and focusing on cash generative assets,” Thabo Kgogo, SacOil CEO said.
Read more: