HOUSTON - VAALCO Energy, Inc. (NYSE: EGY; LSE: EGY), an independent energy company, has confirmed ongoing discussions for a potential acquisition of Svenska Petroleum Exploration AB, as recent media reports speculated.
This transaction, if finalized, would see VAALCO acquiring Svenska's 27.39% interest in Block CI-40, located offshore Cote d'Ivoire, which is currently producing approximately 4,500 barrels of oil equivalent per day net to Svenska.
The company stated that the possible acquisition would be funded by cash on hand and is subject to customary closing conditions, including regulatory and government approvals. However, VAALCO emphasized that there is no certainty that these discussions will result in a definitive agreement or, if such an agreement is reached, that the acquisition will be completed.
VAALCO's potential expansion through this acquisition aligns with its strategy to grow its operations and project pipeline. The company has indicated that it will provide further updates as appropriate, signaling transparency in its corporate activities.
The press release also contained forward-looking statements regarding VAALCO's production and sales volumes, future drilling and production costs, commodity price expectations, capital expenditures, and the development of its operations. These statements are inherently uncertain, and the company acknowledges that actual results could differ materially due to various risks and uncertainties.
Investors are reminded that this announcement does not constitute an offer or solicitation for the sale of securities. The information provided is based on a press release statement from VAALCO Energy, Inc. and is intended to inform stakeholders of the current status of the company's potential acquisition discussions.
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