Savannah gets nod to acquire Seven Energy

Savannah Petroleum, London, has received approval from the Nigerian Department of Petroleum Resources to acquire restructured assets of Seven Energy International Ltd., an oil and gas producer and midstream company operating in southeastern Nigeria.

The complex transaction covers Seven’s 40% participating interest in Uquo oil and gas field; 62.5% interest in Universal Energy Resources Ltd., which holds a 51% participating interest in Stubb Creek oil and gas field; and an unspecified interest in Accugas Ltd., which has a 260-km gas pipeline network and associated gas processing facilities.

Savannah estimates acquisition enterprise value at $270 million.

Reserves net to Seven’s interests have been estimated independently at 92 million boe at Uquo field and 44 million boe at Stubb Creek.

Average gross production in January-April was 2,700 b/d of oil at Stubb Creek field and 100 b/d of oil and condensate and 89.3 MMscfd of natural gas at Uquo field.