ADM Energy (ADME) , welcomed the entrance of PetroNor E&P into the Aje field in OML 113, the 835 sq km offshore Nigerian oil and gas license, of which ADME has a 5% stake in.
Osamede Okhomina, CEO of ADM Energy, said: "PetroNor entering the Aje project and taking a lead role in its future development is a strong endorsement of the viability of the asset and its significant potential upside.”
PetroNor is acquiring 100% of Panoro Energy ASA’s stake in OML 113, for $10 million in new PetroNor shares, with a contingent future payment of up to $25 million based on future gas production volumes.
In exchange PetrNor will acquire Panoro’s 6.502% participating interest, with 16.255% cost bearing interest, representing an economic interest of 12.1913% in OML 113.
Mr. Okhomina said on the deal: “With its extensive offshore technical experience in oil and gas exploration, development and production, PetroNor can help bring near-term production growth and take Aje to the next stage of its development."
Shares in ADM Energy were trading flat at 5.875p on Wednesday of the announcement
PetroNor said the rationale for the transaction was to: "become a technical operator of a de-risked development project with significant upside potential" giving it the "opportunity to leverage PetroNor's technical experience to progress [the] Aje project and deliver near-term increased commercial recovery of hydrocarbons."
PertoNor is the Spanish oil and gas company owned by Repsol and Kutxabank.
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